Everything Else Held Constant,when Output Is ________ the Natural Rate

question 27

Multiple Choice

Everything else held constant,when output is ________ the natural rate level,wages will begin to ________,increasing short-run aggregate supply.

• A)above;fall
• B)above;rise
• C)below;fall
• D)below;rise

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Definitions:

Machinery

Machines or machine systems collectively, especially when considered as components of a production or manufacturing process.

Net Working Capital

The difference between a company's current assets and current liabilities, representing its short-term financial health and efficiency.

Operating Income

The profit realized from a company's core business operations, excluding deductions of interest and tax.