Answer:
The correct way to answer the question: According to the theory of new classical economics, if business sentiment and investment spending decreases, the aggregate demand curve: shifts to the left and the price level falls, while aggregate output: decreases.
Explanation:
The balance of an economy, anywhere in the world, is pretty complex thing. In order to understand both the short-term, and long-term ways in which the economy of a country may respond to different factors, but most especially to GDP, which is the measure of how much, and how well, a country is producing and supplying a demand for certain goods and services, it is necessary to understand both a theory known as the short-term Keynesian analysis and also the neoclassical theory of economics, which applies to long-term macroeconomics. In the case shown above, the point of start is the potential GDP, which will mark the real GDP of a country. The second point is the aggregate supply and demand markers that indicate how an economy is doing with respect to potential GDP. If investement is not placed into an economy, and business sentiment decreasese, it means that productivity will drop, and the aggregate demand curve turns to the left as many other factors are also driven down. Since aggregate output means the amount that is produced in goods and services, the lesser the business interest and spending, the lesser production there will be.
Answer:George Washington, the commander of the Continental Army during the Revolutionary War, is unanimously elected the first president of the United States by all 69 presidential electors who cast their votes. John Adams of Massachusetts, who received 34 votes, was elected vice president. The electors, who represented 10 of the 11 states that had ratified the U.S. Constitution, were chosen by popular vote, legislative appointment, or a combination of both four weeks before the election.
Explanation:
The dating of artifacts is done by a carbon dating age system based on
the development of tools and technology. They used the carbon that is left in
the artifacts of the deceased.
Answer:
Shifts in aggregate demand are often the result of waves of pessimism or optimism among consumers and businesses.
The Fed can effectively respond to excessive pessimism by expanding the money supply and lowering interest rates.
The federal funds rate.
Corporate income taxes.
Explanation:
Stabilization policy refers to a strategy that is enacted by a government in which the government tries to maintain a healthy level of economic growth and minimal price changes. This requires active monitoring of the business cycle and adjustment of interest rates. A method that can be used for this purpose are automatic stabilizers. These are mechanisms that are built into government budgets in order to increase spending or decrease taxes when the economy slows down.
Running a Red Light or Stop Sign.