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3 Written Questions

3 Multiple Choice Questions

  1. a unexpected event that causes the short-run aggregate supply curve to shift
  2. a curve that shows the relationship in the short-run between the price level and the quantity of real GDP supplied by firms
  3. a combination of inflation and recession, usually resulting from supply shock

3 True/False Questions

  1. fiscal policythe actions the Federal Reserve takes to manage the money supply and interest rates to pursue macroeconomics policy objective

          

  2. menu coststhe costs to firms of changing prices

          

  3. aggregate demand curvea curve that shows the relationship in the long-run between the price level and the quantity of real GDP supplied

          

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