If the Short-Run Aggregate Supply Increases by Less Than the Long-Run

question 108

Multiple Choice

If the short-run aggregate supply increases by less than the long-run aggregate supply,then,at the short-run equilibrium

• A)GDP will be below potential GDP.
• B)aggregate demand will increase.
• C)GDP will be above potential GDP.
• D)GDP will be equal to potential GDP.

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Definitions:

Self-transcendence Needs

Self-transcendence needs are the highest level on Maslow's hierarchy, involving the pursuit of achieving one’s full potential and finding meaning beyond one’s self.

Blood Glucose

The main type of sugar found in the blood and the body's main source of energy.

Orexin

A type of neurotransmitter that regulates arousal, wakefulness, and appetite, often implicated in sleep disorders such as narcolepsy.

Insulin

A hormone produced by the pancreas that regulates blood sugar levels by facilitating the uptake of glucose into tissues.