Which of the Following Is TRUE About the Long-Run Aggregate

question 7

Multiple Choice

Which of the following is TRUE about the long-run aggregate supply curve?

• A) It is vertical at the level of potential GDP.
• B) It shows the relationship between the price level and real GDP when the economy is at full employment.
• C) It does not shift in response to temporary changes in aggregate demand.
• D) All of the above statements are true.

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Definitions:

Surgical Unit

A specialized hospital department where surgical procedures are performed and patients receive postoperative care.

Indwelling Catheters

Medical devices inserted into a body cavity, duct, or vessel and left in place for a period of time, especially to allow urine to drain freely from the bladder.

Inflammatory Response

The body's defense mechanism against infection and injury, resulting in redness, warmth, swelling, and pain.

Vascular Reaction

The body’s response involving blood vessels, which can include changes in size, permeability, or blood flow, often in reaction to injury or inflammation.