When Actual Output Is Above Potential Output, Over Time

question 229

Multiple Choice

When actual output is above potential output, over time:

• A) nominal wages will increase, and the short-run supply curve will shift to the right.
• B) nominal wages will increase, and the short-run supply curve will shift to the left.
• C) the aggregate demand curve will shift to the right.
• D) the short-run aggregate supply curve will shift to the right.

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Definitions:

United States Health Care System

A complex system involving private and public entities that provide medical services, health insurance, and regulatory frameworks, characterized by high costs and debates over access and quality.

Stockholders

Individuals or entities that own shares in a corporation, giving them a stake in the company's assets and profits.

High-Paid

Describes individuals or positions that receive a salary significantly above the average wage.

Social Causes

Underlying societal factors that lead to specific outcomes, including behaviors, phenomena, or health issues.