An Increase in ________ Increases Potential GDP and ________ Aggregate

question 76

Multiple Choice

An increase in ________ increases potential GDP and ________ aggregate supply.

• A) the money wage rate; decreases
• B) technology; decreases
• C) the money price of oil; decreases
• D) technology; increases
• E) the money wage rate; increases

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Definitions:

Yalu River

The river that forms the border between North Korea and China, known for being a significant site during the Korean War when Chinese forces crossed it to assist North Korea.

U.N. Forces

Military and peacekeeping troops contributed by member countries of the United Nations, used in various conflict zones to enforce peace agreements and provide stability.

Spy Plane

An aircraft used for espionage, designed to gather intelligence through aerial reconnaissance, often equipped with advanced surveillance technologies.

Eisenhower

Dwight D. Eisenhower, the 34th President of the United States from 1953 to 1961, known for his leadership during World War II as Supreme Commander of Allied Forces in Europe.