The Economy Cannot Remain Indefinitely with Real GDP Greater Than

question 109

Multiple Choice

The economy cannot remain indefinitely with real GDP greater than potential GDP because the money wage rate will

• A)decrease, shifting the LAS curve rightward.
• B)decrease, shifting the SAS curve rightward.
• C)increase, shifting the LAS curve leftward.
• D)increase, shifting the SAS curve leftward.
• E)increase, shifting the SAS curve rightward.

Recognize the impact of individual behavior and self-esteem on ethical decision-making.

Identify the role of formalized ethical guidelines and codes of ethics in organizations.

Analyze rationalizations that lead to unethical behavior and ways to counter them.

Comprehend the importance of consistency, impartiality, and fact-based decisions in justice-oriented ethics.

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Definitions:

Output

The total quantity of goods or services produced by a company, industry, or economy within a certain period.

Unemployment

The situation in which individuals who are able and willing to work are not finding employment.

Aggregate Demand

It refers to the total demand for all goods and services within a particular economy at current price levels.

Long Run

A period in economics where all factors of production and costs are variable, allowing companies to adjust to market demands.