11.5 the Long-Run AS Curve

question 139

Multiple Choice

11.5 The Long-Run AS Curve
Refer to the information provided in Figure 11.7 below to answer the questions that follow. Figure 11.7
-Refer to Figure 11.7. The level of aggregate output that can be sustained in the long run without inflation

• A) is $400 million.
• B) is $700 million.
• C) is $800 million.
• D) cannot be determined from this information because aggregate demand is not given.

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Definitions:

Central Mechanisms

Refers to the fundamental processes or systems in the central nervous system that underlie functions such as perception, movement, and thought.

Self-Efficacy

An individual's belief in their own ability to succeed in specific situations or accomplish a task.

Community Psychology

A field of psychology that has highlighted the need for the prevention of mental disorders and the promotion of mental health, as opposed to exclusive reliance on treatment approaches; applies an ecological perspective that stresses the interdependence of the individual, the family, community, and society; embodies sensitivity to a person’s social context and appreciation of diversity; pays more attention to people’s strengths and the promotion of wellness, in contrast to the clinical psychology focus on deficits and reduction of maladaptive behaviors; stresses the importance of informal social supports, rather than relying solely on professional help; and is oriented to social justice and social change.

Ecological Approach

A perspective within psychology and other social sciences that emphasizes the importance of understanding individuals in the context of their physical and social environments.