If a Hurricane Were to Wipe Out the Majority of the Eastern

question 161

Multiple Choice

If a hurricane were to wipe out the majority of the eastern seaboard in the United States:

• A) only the long-run aggregate supply curve would shift left.
• B) the long-run and short-run aggregate supply curves would both shift left.
• C) only the short-run aggregate supply curve would shift left.
• D) neither the short-run nor long-run aggregate supply curves would be affected.

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Definitions:

Balance Sheet

A statement presenting a company’s financial standing, including details on assets, liabilities, and equity held by shareholders, at a particular point in time.

Total Assets

Total assets represent the sum of all resources owned by a company, valued in monetary terms, and listed on its balance sheet, including both current and non-current assets.

Liabilities

Financial obligations that a company owes to outside parties, including loans, accounts payable, mortgages, and other debts.

Retained Earnings

The portion of a company's profits that is saved or retained rather than distributed to shareholders as dividends.