Which of the Following Statements Is Correct for the Short

question 151

Multiple Choice

Which of the following statements is correct for the short run?

• A)Output is determined by the amount of capital,labor,and technology;the interest rate adjusts to balance the supply and demand for money;the price level adjusts to balance the supply and demand for loanable funds.
• B)Output is determined by the amount of capital,labor,and technology;the interest rate adjusts to balance the supply and demand for loanable funds;the price level adjusts to balance the supply and demand for money.
• C)Output responds to the aggregate demand for goods and services;the interest rate adjusts to balance the supply and demand for money;the price level is relatively slow to adjust.
• D)Output responds to the aggregate demand for goods and services;the interest rate adjusts to balance the supply and demand for loanable funds;the price level adjusts to balance the supply and demand for money.

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Definitions:

Newly-Married Couples

Partners who have recently entered into marriage, beginning their life together as a legally recognized relationship.

Level Of Significance

A threshold chosen by the researcher which determines the probability of rejecting the null hypothesis when it is actually true, commonly denoted by alpha (α).

Null Hypothesis

A type of hypothesis used in statistics that proposes that no significant difference exists in a set of given observations.

Fair Die

A die that has an equal probability of landing on any one of its faces when thrown.