Because Some Resource Prices Are Assumed to Be Constant in the Short

question 189

Multiple Choice

Because some resource prices are assumed to be constant in the short run,

• A)the aggregate supply curve is horizontal in the short run
• B)the aggregate supply curve is vertical in the short run
• C)costs do not increase as much as output prices do when the price level rises
• D)an increase in price per unit is the same thing as a decrease in profit per unit
• E)firms' total costs of production decrease as output increases

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Definitions:

Phenothiazine

A class of drugs used primarily as antipsychotics to treat conditions like schizophrenia and bipolar disorder.

Major Antipsychotic

A class of medication primarily used to manage psychosis, particularly in disorders like schizophrenia.

Tranquilizer

A class of psychoactive drugs used to reduce tension or anxiety without inducing sleep.

Obsessive-Compulsive Disorder

A mental disorder characterized by recurrent, unwanted thoughts (obsessions) and/or repetitive behaviors (compulsions) that the person feels the urge to perform in response to an obsession.