ECON 1120 Midterm: 2006Prelim11April(QuestionsplusAnswers)[2]1
Document Summary
This exam has 20 multiple choice questions, 4 short answer questions and 2 essay questions. Answer: a: an increase in money supply will cause, a rightward shift in the ad curve, a leftward shift in the as curve, a rightward shift in the as curve, a leftward shift in the as curve. Answer: a: when an economy produces at its ____ level of output, the aggregate supply curve becomes _____, maximum; horizontal, maximum; vertical, minimum; vertical, minimum; relatively flat and negatively sloped. Answer: b: if there were no time lag between the input and output price changes the _____ aggregate supply curve would be almost entirely _____, long-run, horizontal, long-run, negatively sloped, short-run, vertical, short-run, horizontal. Answer: c: which of the following factors will shift the aggregate supply curve to the left, supply of better educated labor, late monsoon rains in an agricultural nation like india, investment in infrastructure, good weather. Section number: one possible explanation for involuntary unemployment is.
