Use the Following to Answer Questions

question 60

Multiple Choice

Use the following to answer questions :
Exhibit: AD-AS Shifts

-(Exhibit: AD-AS Shifts) Starting from long-run equilibrium at A with output equal to Y and the price level equal to P₁,a demand-pull inflation would be represented by a shift from:

• A) AD₁ to AD₂.
• B) AD₁ to AD₃.
• C) AS₁ to AS₂.
• D) AS₁ to AS₃.

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Medicare Tax

A federal tax deducted from an employee's paycheck to fund the Medicare program.

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Taxes paid by employers to fund the unemployment insurance program, providing financial assistance to unemployed workers.

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A tax levied by the U.S. government on the annual earnings of individuals, corporations, trusts, and other legal entities.

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A tax that funds the Social Security program, imposed on both employers and employees based on wages earned.