If Profits Are High Because the Price Level Rose

question 30

Multiple Choice

If profits are high because the price level rose,

• A)it is likely the result of an increase in the real wage rate.
• B)new businesses open and the quantity of real GDP supplied increases.
• C)business failures rise and the quantity of real GDP supplied increases.
• D)potential GDP must be decreasing.
• E)the AS curve shifts leftward.

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Definitions:

HR Concept

Pertains to the ideas and strategies associated with Human Resources, including recruitment, management, and development of a company's workforce.

Time Horizon

The length of time over which an investment, project, or strategic plan is intended to unfold and achieve its goals.

Numerical Estimate

A quantitative assessment or approximation of a figure related to a specific topic or project.

HR Surplus

The situation where an organization has more employees than needed to effectively accomplish its goals, leading to potential restructuring or downsizing.