AD/SRAS/LRAS Quiz - Peterson Macroeconomics

In the _____ input prices are ______ and don't adjust to inflation.

• Long-Run;

  sticky

• Short-Run;

  flexible

• Long-Run;

  sticky

• Short-Run;

  sticky

Increased productivity

• shifts the SRAS leftward.

• shifts the AD curve rightward.

• shifts the SRAS rightward.

• shifts the AD curve leftward.

The ______ shifts ________ to show economic growth

• SRAS;

  rightward

• LRAS;

  leftward.

• LRAS;

  Rightward

• SRAS;

  leftward

Which of the following shift the AD Curve?

• changes in Consumption

• Changes in Gross Investment

• Changes in Government Spending

• all of the above

Which of the following will shift the AD curve leftward?

• increase in exports

• increase in imports

• increase in government spending

• increase in consumer spending

Which of the following will shift the SRAS leftward?

• decrease in subsidies

• increase in productivity

• decrease in input costs

• decrease in taxes

Fiscal Policy actions are aimed at changing the ______ to fight recession or inflation.

• SRAS

• AD and SRAS

• LRAS

• AD

Which factor will cause both a change in the quantity of Real GDP and movement along either the AD or SRAS?

• a change in taxes

• a change in the PL

• a change in productivity

• a change in Gross Investment

In Macroeconomics, the Long-Run begins when __________________.

• input prices become flexible

• input prices become sticky

• input prices change from sticky to flexible

• input prices change from flexible to sticky

Which factor will increase both AD and the SRAS?

• a change in productivity.

• a change in business taxes.

• a change in business investment.

• a change in government spending.