Scenario 33-2 Imagine That in the Current Year the Economy Is in Is

question 163

Multiple Choice

Scenario 33-2
Imagine that in the current year the economy is in long-run equilibrium. Then stock prices rise more than expected and stay high for some time.
-Refer to Scenario 33-2. In the long run, the change in price expectations created by the rise in stock prices

• A)long-run aggregate supply right.
• B)long-run aggregate supply left.
• C)short-run aggregate supply right.
• D)short-run aggregate supply left.

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Definitions:

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Objects kept as a reminder of a person, place, or event, holding sentimental value to the owner.