When Output Exceeds Its Full-Employment Level

question 38

Multiple Choice

When output exceeds its full-employment level,

• A)the short-run aggregate supply function shifts up.
• B)wages fall.
• C)the short-run aggregate supply function shifts down.
• D)aggregate supply exceeds aggregate demand.

---

Definitions:

Assembly Language

A low-level programming language that translates human-readable code into machine code understood by a computer's CPU.

Assembly Code

A low-level programming language that is closely related to the machine code instruction set of a computer's CPU.

Assembler

A type of computer program that translates assembly language into machine language.

Bytecode Instruction

An instruction in the form of binary code that can be executed by a virtual machine, typically used in Java.