Consider the AD Curve in the Simple Macro Model

question 120

Multiple Choice

Consider the AD curve in the simple macro model.When there is a change in autonomous desired expenditure,the simple multiplier is equal to the

• A)product of the horizontal shift of the AD curve times the change in autonomous expenditure.
• B)product of the vertical movement along the AD curve times the change in autonomous expenditure.
• C)ratio of the horizontal shift of the AD curve to the change in autonomous expenditure.
• D)ratio of the vertical movement along the AD curve to the change in autonomous expenditure.
• E)ratio of the vertical shift of the AD curve to the change in autonomous expenditure.

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Nonunion Firms

Companies or organizations where the workforce is not represented by a labor union, often resulting in different working conditions compared to unionized settings.

Foreign Producers

Companies or individuals located outside a given country that produce goods or services for that country's market.

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Wages negotiated by labor unions on behalf of their members, often resulting in higher pay and better work conditions compared to non-unionized workers.

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Laws that prohibit union shops, the requirement that employees must join a union as a condition of employment. Each state has the option to adopt (or reject) right-to-work legislation.