Starting from Long-Run Equilibrium, the Long-Run Impact of an Increase

question 129

Multiple Choice

Starting from long-run equilibrium, the long-run impact of an increase in autonomous investment, compared to the original equilibrium, is:

• A)higher inflation and the same output.
• B)lower inflation and lower output.
• C)lower inflation and the same output.
• D)higher inflation and higher output.

---

Definitions:

Pollution

The presence or introduction into the environment of substances or things that have harmful or poisonous effects.

College

An educational institution or a constituent part of one that offers higher learning beyond secondary education, typically providing undergraduate programs.

Public Punishments

Penalties imposed on individuals that are carried out in view of the general public, historically used as a method of deterrence and social control.

Sandwich Board

A type of advertisement consisting of two boards with a message or graphic, carried over the shoulders by a person or placed on a sidewalk.