All categories

3 years ago

.

Social Studies

2 answers:

gogolik [260]3 years ago

7 0

The answer is: C. Lower unemployment

When aggregate demand exceed supply, it would mean that the producers need to increase the amount of their labor force in order to keep up with the demand. This mean that they would increase their hiring rate and eventually lower the number of unemployment.

Stels [109]3 years ago

3 0

In general, when aggregate demand exceeds aggregate supply, lower employment is the most likely result.

Further explanation:

The economy is in the equilibrium state when aggregate demand matches the aggregate supply. The inequality between the two puts the economy into dis-equilibrium state. When aggregate demand exceeds the aggregate supply, inflation is the outcome and as a result, producers start producing more. Firms raise the production levels and for that hire more labor which lowers down unemployment in the economy.

Justification for the correct and incorrect answer:

A) Lower tax rates: This option is incorrect.

Lower tax rates are not the likely result of excess aggregate demand. Excess aggregate demand in the economy could be a result of low tax rates policy of the government but lower tax rates could not be a resultant outcome of excess aggregate demand.

B) Higher tax rates: This option is incorrect.

When aggregate demand exceeds aggregate supply, producers’ response with large production of output and high level of employment is more likely to occur than the government response with high tax rates. The government policy of high tax rates in the phase of excess demand could not occur as the government aims to maximize the GDP and output.

C) Lower unemployment:This option is correct.

In the phase of more aggregate demand over aggregate supply, firms respond immediately by increasing the level of production of output. As a result, firms start hiring more labors which lowers the overall level of unemployment in the economy.

D) Higher unemployment: This option is incorrect.

Higher unemployment corresponds to the low level of employment. In the phase of excess aggregate demand, when firms start employing more labor into the production process, employment rises. As a result, the economy experiences low level of unemployment.

Therefore, when aggregate demand is higher than aggregate supply, lower unemployment is the most likely result.

Learn more:

1. Learn more about unemployment due to lack of skills.

brainly.com/question/11030926

2. Learn more about GDP and taxes

brainly.com/question/4306898

3. Learn more about demand supply

brainly.com/question/11045011

Answer details:

Grade: Senior school

Subject: Economics

Chapter: Aggregate demand-Aggregate supply

Keywords: in general, when, aggregate demand, exceeds aggregate supply, most likely, to result, lower tax rates, higher tax rates, lower unemployment, higher unemployment, equilibrium state when aggregate demand matches the aggregate supply.

You might be interested in

Which statements are most accurate regarding feelings and thoughts about death in adulthood?

stealth61 [152]

Answer:

The older people are more concerned about death. These people more think about the death concept. They think about what they did in their whole life. What they contribute to society and what they did for their family. They analyze their work and their achievements. The people who were satisfying with their achievement feel happy and satisfied with their life.

They found themselves in the final stage of humanistic. But people who do not find themselves satisfied with their achievements, they feel regret and develop a sense of depression and guilt. The older people think more about death. These people do more conversations with other people on this concept.

8 0

3 years ago

After catching up on all her readings and assignments, Leah treats herself by going to a movie with a friend. This outing is an

Rasek [7]

Answer: Positive

Explanation:

Positive reinforcement is defined as process in which something is given or praising the person in form of reward when he/she performs any desired act .It helps in promoting and performing such acts more in future by the person through reinforcement stimulus.

According to the question, as Leah has completed her reading task as well as assignments, she is rewarding herself with movie treat so that she can promote her on-time reading function more in future.Thus, it is positive reinforcement example.

4 0

3 years ago

Question 8 in __________________ the researcher spends extensive time with respondents and carefully records their activities, c

Orlov [11]

in naturalistic observation the researcher spends extensive time with respondents and carefully records their activities, conversations, gestures, and other aspects of everyday life.

<h3>What is naturalistic observation..??</h3>

Naturalistic observation is a research method that involves observing subjects in their natural environment. The goal is to look at behavior in a natural setting without intervention, it is a qualitative research method where you record the behaviors of your research subjects in real world settings.

'Naturalistic research is important for getting research results that aren't impacted by the researchers themselves. Even a well designed study can have problems with subjects being aware of observation, or being in an unnatural environment, which could skew results."

To know more about naturalistic observation click below:

brainly.com/question/14633951

#SPJ4

4 0

1 year ago

Which strengthen the early political parties in the US?

Luba_88 [7]

The French Revolution

7 0

3 years ago

Why did most immigrants choose to come to the United States in the nineteenth century?

Vesnalui [34]