Long-Run Full-Employment Equilibrium Assumes

question 22

Multiple Choice

Long-run full-employment equilibrium assumes:

• A) ​a downward-sloping production function.
• B) ​a downward-sloping long-run supply curve (LRAS).
• C) ​the CPI index price level equals the equilibrium wage rate.
• D) ​the CPI equals aggregate demand (AD) equals short-run aggregate supply (SRAS) equals long-run aggregate supply (LRAS).
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Definitions:

True Power

The actual power consumed by a circuit, calculated as the product of the voltage, current, and the cosine of the phase angle between them in a resistive load, measured in watts.

Series RL Circuit

An electrical circuit composed of resistors (R) and inductors (L) connected in a series configuration, affecting the phase and amplitude of the circuit's response.

Inductive Reactance

The resistance offered by an inductor to alternating current, which varies with the frequency of the current and the inductance, also measured in ohms.

Power Factor

A dimensionless number between 0 and 1 that represents the ratio of the real power flowing to the load to the apparent power in the circuit.