The AD Curve Can Be Shifted By

question 25

Multiple Choice

The AD curve can be shifted by:

• A)both fiscal and monetary policy.
• B)neither fiscal nor monetary policy.
• C)fiscal policy only.
• D)monetary policy only.

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Definitions:

Oligopolists

Firms or entities within an industry where a small number control the majority of the market share, often leading to limited competition.

Highest Profit

The maximum financial gain that can be achieved from business activities after subtracting all relevant costs and expenses.

Competitive Quantity

Indicates the amount of product or service offered by businesses in a competitive market scenario, aimed at achieving optimum market share.

Natural Monopoly

A market condition where a single firm can supply a good or service to an entire market at a lower cost than two or more firms.