Long-Run Macroeconomic Equilibrium Occurs When

question 205

Multiple Choice

Long-run macroeconomic equilibrium occurs when

• A)aggregate demand equals short-run aggregate supply.
• B)aggregate demand equals short-run aggregate supply and they intersect at a point on the long-run supply curve.
• C)structural and frictional unemployment equals zero.
• D)output is above potential GDP.

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Definitions:

Monroe Doctrine

A cornerstone of American foreign policy introduced in 1823, which declared that further efforts by European nations to colonize land or interfere with states in the Americas would be viewed as acts of aggression, requiring U.S. intervention.

European Nations

Countries located on the continent of Europe, known for their diverse cultures, languages, and histories.

Latin America

A region in the Americas characterized by countries that primarily speak Spanish, Portuguese, and French, known for its diverse cultures, history, and significant socioeconomic challenges.

Convention Of 1818

An agreement between the U.S. and Britain that settled the Canada-U.S. border along the 49th parallel for much of its stretch and allowed joint occupancy and settlement of the Oregon Territory.