Which Curve Is Easiest to Shift with Government Policy

question 118

Multiple Choice

Which curve is easiest to shift with government policy?

• A) the short-run aggregate supply curve
• B) the long-run aggregate supply curve
• C) the aggregate demand curve
• D) the short-run and long-run aggregate supply curves are both easy to shift

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Definitions:

Sale of Property

The act of transferring ownership of real estate or personal property from one party to another for a price.

Taxable Income

The amount of income used to calculate how much the tax payer owes to the government in taxes.

Sick Pay

Compensation paid to employees when they are unable to work due to illness.

Child Support Payments

Payments made by a non-custodial parent to support their child or children; these are not tax-deductible.