Which Statement Is Consistent with the Long-Run Theories Studied

question 96

Multiple Choice

Which statement is consistent with the long-run theories studied?

• A) In the long run, output responds to the aggregate demand and supply of goods and services; the interest rate adjusts to balance the supply and demand for money; and the price level adjusts to balance the supply and demand for loanable funds.
• B) In the long run, output is determined by the amount of capital, labour, and technology; the interest rate adjusts to balance the supply and demand for loanable funds; and the price level adjusts to balance the supply and demand for money.
• C) In the long run, output is determined by the amount of capital, labour, and technology; the interest rate adjusts to balance the supply and demand for loanable funds; and the price level is stuck.
• D) In the long run, output responds to the aggregate demand for goods and services; the interest rate adjusts to balance the supply and demand for loanable funds; and the price level adjusts to balance the supply and demand for money.

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Definitions:

Sectional Diameter

The diameter of a circular object or a section thereof, often used in the context of mechanical parts or engineering to describe specific measurements.

SAE Metric

Refers generally to tools or system measurements that are based on the metric system and standardized by the Society of Automotive Engineers.

Data Bus

A system for exchanging data within a computer or between multiple computers.

Ground Clamp

A Ground Clamp is an electrical device used to securely connect grounding wires to a rod or the grounding system, ensuring a safe path for electricity to ground.