An Increase in Productivity Will Shift the Aggregate

question 46

Multiple Choice

An increase in productivity will shift the aggregate:

• A)demand curve leftward.
• B)demand curve rightward.
• C)supply curve rightward.
• D)supply curve leftward.

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Definitions:

Times Interest Earned

A financial ratio that measures a company's ability to service its debt by comparing operating income to interest expense.

Financial Information

Data pertaining to the financial status or performance of an individual, business, or other entity, including reports on assets, liabilities, income, and expenses.

Liquidity and Efficiency

Financial metrics that evaluate how quickly a company can meet its short-term obligations with its available assets and how effectively it utilizes its resources.

Solvency

The ability of an entity to meet its long-term financial obligations and continue its operations in the long term.