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pogonyaev
2 years ago
12

Which of the following is true? Select one: a. If the economy is close to capacity, with resources almost fully employed, the AS

curve will be flat b. If the economy is in a recession, with idle resources, the AS curve will be steep c. If the economy is at full capacity, then the AS curve will be vertical. d. None of the above
Business
1 answer:
djverab [1.8K]2 years ago
6 0

Answer:

Correct option is C.

<u>If the economy is at full capacity, then the AS curve will be vertical</u>

Explanation:

The long-run aggregate supply curve is perfectly vertical, which reflects economists' belief that the changes in aggregate demand only cause a temporary change in an economy's total output. For the short-run aggregate supply, the quantity supplied increases as the price rises.

The full capacity AS curve is a long-run AS curved and it is vertical as the potential output level is denoted by it with the fully employed resources.

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A central planning board makes all economic decisions concerning resources and. The government owns most property, resources are the characteristics that best describe a command system.

<h3>What is command system?</h3>

Command system is the economic system where government  has a special and major role. That detects the economic with the real world problem like the coordination problem, moral problem, hazardous problem and others.

Thus, option B and C are correct.

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1 year ago
Which factor makes an IRA superior to a regular stock portfolio for saving for retirement?
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Advantages:

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Disadvantages:

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larisa86 [58]

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Answer:

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