Long-Run Aggregate Supply Curve in the Classical Model

question 350

Multiple Choice

Long-run aggregate supply curve in the classical model

• A) is the level of real GDP corresponding to 100 percent labor force participation.
• B) is the level of real GDP corresponding to the natural rate of unemployment.
• C) is a downward sloping line.
• D) is determined by the capital stock of the economy, not the labor force.

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Definitions:

Sensorimotor

A stage in Piaget's theory of cognitive development where infants learn about the world through their movements and sensory impressions.

Concrete Operations

A stage in child development, as per Piaget's theory, where logical thinking develops but is limited to tangible and concrete situations.

Formal Operations

The stage in Piaget's theory of cognitive development where individuals develop the ability to think abstractly, logically, and systematically.

Formal Operational

A stage of cognitive development in which individuals become capable of abstract thinking and logical reasoning.