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Figure 119 Alt Text for Figure 11

question 250

Multiple Choice

Figure 11.9 Alt text for Figure 11.9: In figure 11.9, a static AD-AS model.
Long description for Figure 11.9: The x-axis is labelled, real GDP (trillions of 2007 dollars) and the y-axis is labelled, price level (CPI) .5 lines are shown; AD1, AD2, AD3, LRAS, SRAS.Line AD1 begins in the top left corner and slopes down to the end of the x-axis.Line AD2 follows the same slope but is plotted to the left.Similarly, line AD3 is plotted to the left of line AD2.Line SRAS begins close to the vertex and slopes up to the top right corner.Line LRAS is perpendicular to the x-axis, and passes through points D, B, and E.Lines AD3 and SRAS intersect at point A.Lines AD2, LRAS, and SRAS intersect at point B.Lines AD1 and SRAS intersect at point C.Lines AD1 and LRAS intersect at point D.Lines AD3 and LRAS intersect at point E.
-Refer to Figure 11.9.Suppose the economy is in a recession and the Bank of Canada pursues an expansionary monetary policy.Using the static AD-AS model in the figure above, this would be depicted as a movement from

Definitions:

Constant Dividend

A dividend policy in which a company commits to distributing a fixed amount of money to shareholders regularly.

Rate of Return

The upward or downward adjustment in the value of an investment during a particular period, characterized as a percentage of the initial investment price.

Annual Dividends

Payments made by a corporation to its shareholder members from its profits or reserves on a yearly basis.

Special Dividend

A one-time payment made by a company to its shareholders, usually in the form of cash, stocks or property, outside the regular dividend payments.