An Expansionary Gap Is Closed in the Long Run by A(n)

question 114

Multiple Choice

An expansionary gap is closed in the long run by a(n) :

• A)rightward shift of the short-run aggregate supply curve.
• B)leftward shift of the short-run aggregate supply curve.
• C)movement to the right along a fixed short-run aggregate supply curve.
• D)increase in aggregate demand.
• E)decrease in aggregate demand.

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Definitions:

Master Budget

A comprehensive financial plan that includes all elements of an organization's operations, combining several individual budgets into one.

Sales Budget

A financial plan that estimates future sales, often used to guide marketing and sales strategies.

Forecasted Economic

Projections or estimates about future economic conditions, such as growth rates, inflation, or market trends, based on current data and analysis.

Merchandiser's Budget

A financial plan used by a retail company to manage inventory, purchase goods, and forecast sales for planning profits and cash flow.