If Both the Price Level and Nominal Incomes Change by the Same

question 31

Multiple Choice

If both the price level and nominal incomes change by the same percentage:

• A) real GDP will remain constant.
• B) the aggregate supply curve will be upward-sloping.
• C) profit margins will change in real terms.
• D) the long-run aggregate supply curve will be horizontal.
• E) both a and d.

Recognize the limitations of financial planning models and approaches.

Understand the fundamental concepts of operations management.

Analyze productivity and its improvement.

Identify and differentiate between service and goods production characteristics.

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Definitions:

Polyesters

A category of polymers that contain the ester functional group in their main chain, widely used in fibers and plastics.

Diester

A diester is an organic compound formed when two hydroxyl groups in an acid are replaced by ester groups.

Vulcanization

A chemical process for converting natural rubber or related polymers into more durable materials via the addition of sulfur or other equivalent curatives or accelerators.

Synthetic Rubber

A man-made elastomer designed to mimic natural rubber, noted for its elasticity and produced through polymerization processes.