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ECON-1012-B-Introduction to Macroeconomics

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Assume that the Canadian economy is at long-run equilibrium. If Canadian businesses expect future profits to rise, what effect does this event have on the Canadian economy in the short run?
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Which of the following events will not shift the aggregate demand curve? 
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If the economy's capital stock decreases, which of the following events will occur?
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In an economy with a fixed price level, exports increase. which of the following statements best describes the sequence of changes in the economy?
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If the quantity of money in Canada increases, which of the following events will occur?
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When the world economy goes into an expansion phase of the business cycle, what happens in the Canadian economy?
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If the Canadian price level rises, which of the following events will occur?
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Table 10.3.1

The three columns of the table are titled Price level (2012 = 100), and real GDP demanded and real GDP supplied in billions of 2012 dollars. The rows display the data as follows: 100; 800; 300110; 700; 400120; 600; 500130; 500; 600140; 400; 700

Refer to Table 10.3.1, which shows the aggregate demand and aggregate supply schedules. As this economy adjusts to long-run equilibrium, which of the following events will occur?
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Short Description: A graph of price level versus real G D P. Long Description: The vertical axis is labelled, price level (G D P deflator, 20 12 = 100) and ranges from 60 to 110 in increments of 10 with a kink near the origin. The horizontal axis is labelled, real G D P (billions of 20 12 dollars) and ranges from 320 to 520 in increments of 40 with a kink near the origin. The line for S A S slopes upward from the lower left corner to the upper right corner passing through the points (340, 70) and (400, 85). The line for A D slopes downward from the upper left corner to the lower right corner, passing through the points (360, 100), (400, 85), and (440, 70). The line for L A S is a vertical line from the point (440, 0) on the horizontal axis passing through the point (440, 70).

Figure 10.3.1

Refer to Figure 10.3.1, which shows the AS-AD model in which an economy is in short-run macroeconomic equilibrium. Which of the following statements (1) and (2) is correct and which is incorrect? 

(1)The actual unemployment rate exceeds the natural unemployment rate.
(2)The SAS curve will automatically shift leftward as the economy adjusts to long-run equilibrium.
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How does a technological advance influence aggregate supply?
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