A Positive Demand Shock Leads To

question 115

Multiple Choice

A positive demand shock leads to:

• A) higher prices and higher employment.
• B) higher prices and higher unemployment.
• C) higher prices and lower output.
• D) lower prices and lower output.

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Definitions:

Employees

Individuals who are hired to perform tasks or services for an employer under an agreement of compensation, whether monetary or otherwise.

Complexity

The state or quality of being intricate or complicated, often due to various interconnected and diverse components.

Rules

Explicit principles or guidelines that govern behavior and the operation of systems within various contexts.

Regulations

Rules and guidelines issued by governmental bodies to control activities within various sectors.