Which of These Does Not Hold True If an Economy

question 62

Multiple Choice

Which of these does not hold true if an economy is simultaneously in long-run and short-run equilibrium?

• A)The actual price level equals the expected price level.
• B)Aggregate quantity supplied equals potential output.
• C)Aggregate quantity demanded equals potential output.
• D)Aggregate quantity supplied equals aggregate quantity demanded.
• E)Aggregate demand curve is horizontal at the potential output level.

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Definitions:

Reality Shock

The feeling of surprise and disorientation experienced when entering a new environment, revealing a gap between expectations and reality.

Institutionalized Socialization Tactics

Organized methods used within institutions or organizations to assimilate new members into the prevailing culture or set of norms.

Self-selection

The process where individuals voluntarily choose to participate in a particular group, activity, or study based on their personal characteristics or preferences.

Selection Process

The procedure of choosing the most suitable candidates for a job or a role based on predefined criteria.