The Following List of Items Are Related to Aggregate Demand

question 114

Multiple Choice

The following list of items are related to aggregate demand and/or aggregate supply.Entrepreneurial ability Consumer expectations
Degree of excess capacity
Personal income tax rates
Productivity
National income abroad
Business taxes
Domestic resource availability
Business taxes
Domestic resource availability
Prices of imported products
Profit expectations on investments
Refer to the above list.Changes in which combination of factors best explain why the aggregate supply curve would shift?

• A)1 and 2
• B)2 and 10
• C)3 and 6
• D)7 and 8

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Definitions:

Dividend

A payment made by a corporation to its shareholders, usually in the form of cash or stock, from its profits or reserves.

Liquidation Value

Net amount that could be realized by selling the assets of a firm after paying the debt.

Common Share

A type of equity security that represents ownership in a corporation, entitling the holder to a share of the company's profit through dividends and/or capital appreciation.

P/E Ratios

The Price-to-Earnings Ratio, a valuation metric comparing a company's current share price to its per-share earnings, used to evaluate stock price reasonableness.