Principles of Economics, 7th Edition (MindTap Course List)
7th Edition
ISBN: 9781285165875
Author: N. Gregory Mankiw
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Question
Chapter 33, Problem 2PA
Sub part (a):
To determine
Impact of different events on the long run aggregate supply .
Sub part (b):
To determine
Impact of different events on the long run aggregate supply.
Sub part (c):
To determine
Impact of different events on the long run aggregate supply.
Sub part (d):
To determine
Impact of different events on the long run aggregate supply.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
QUESTION 2
Explain whether each of the following events will increase, decrease or have no
effect on long-run aggregate supply.
a) Malaysia experiences a wave of immigration.
b) Intel invents a new and more powerful computer chip.
c) Tenaga Nasional Berhad (TNB) invests in new electricity transmission
technology.
d) A severe flood damages factories in Pahang.
Draw an aggregate demand and supply diagram for Japan. In the diagram, show how each of the following affects aggregate demand and supply:
The U.S. gross domestic product falls.
The level of prices in Korea falls.
Labor receives a large wage increase.
Economists predict higher prices next year.
What kind of change would happen to aggregate demand, aggregate supply, and real GDP. if foreign countries purchase an unusually large number of U. S. manufactured passenger and military airplanes.
Chapter 33 Solutions
Principles of Economics, 7th Edition (MindTap Course List)
Ch. 33.1 - Prob. 1QQCh. 33.2 - Prob. 2QQCh. 33.3 - Prob. 3QQCh. 33.4 - Prob. 4QQCh. 33.5 - Prob. 5QQCh. 33 - Prob. 1QRCh. 33 - Prob. 2QRCh. 33 - Prob. 3QRCh. 33 - Prob. 4QRCh. 33 - Prob. 5QR
Ch. 33 - Prob. 6QRCh. 33 - Prob. 7QRCh. 33 - Prob. 1QCMCCh. 33 - Prob. 2QCMCCh. 33 - Prob. 3QCMCCh. 33 - Prob. 4QCMCCh. 33 - Prob. 5QCMCCh. 33 - Prob. 6QCMCCh. 33 - Prob. 1PACh. 33 - Prob. 2PACh. 33 - Prob. 3PACh. 33 - Prob. 4PACh. 33 - Prob. 5PACh. 33 - Prob. 6PACh. 33 - Prob. 7PACh. 33 - Prob. 8PACh. 33 - Prob. 9PACh. 33 - Prob. 10PA
Knowledge Booster
Similar questions
- The following event has occurred in the history of the United States: The world oil price rises sharply. Explain for event whether it changes short-run aggregate supply, long-run aggregate supply, aggregate demand, or some combination of them.arrow_forwardExplain whether each of the following events will increase decrease or have no effect on long run aggregate supply a. the United States experiences as a wave of immigration b. Congress raises the minimum wage to $15 an hour c. Intel and Vince a new and more improved powerful computer chip d. a severe hurricane damage factories along the East Coastarrow_forwardExplain whether each of the following events shifts the short-run aggregate-supply curve, the aggregate-demand curve, both, or neither. For each event that does shift a curve, use a diagram to illustrate the effect on the economy.a There is a reduction in household income tax.b A cyclone destroys the year’s wheat crop.c Households decide to have less children.d A significant amount of iron ore is found in Western Australia, capable of supplying world trade for the next 50 years.arrow_forward
- Which of the following statements will not parallel shift the aggregate supply curve? A. A reduction in business taxes. B. A reduction in the price of imported oil. C. An increase in labor productivity. D. A reduction in the general level of prices Please do fast ASAP fastarrow_forwardWhich of the following would cause the long run aggregate supply to decrease?O. A civil war in the country leads to destruction of property and loss of life.O. The Federal Reserve purchases $500 million in bonds from the banks.O. An unusually low temperatures in the midwest results in fewer crops than last year.O. A major breakthrough in extraction (fracking) leads to more efficient drilling of natural gas.arrow_forwardChanges in what four variables will shift the long run aggregate supply curve?arrow_forward
- Describe the change in aggregate supply that should result from each of the following changes in determinants. Assume that nothing else is changing besides the identified change. (In your answer, indicate whether the change will "Decrease" or "Increase" aggregate supply or have no effect.) (a) A rise in the average price of inputs; (b) An increase in worker productivity; (c) Government antipollution regulations become stricter; (d) A new subsidy program is enacted for new business investment in productive equipment; (e) Energy prices decline.arrow_forwardExplain the difference between the short-run aggregate supply curve and the long-run aggregate supply.arrow_forwardIllustrate each of the following situations with a graph showing the Short-run Aggregate Supply curve: a. An increase in price of crude oil b. A decrease in the capital stock c. An increase in the size of labor force d. A decrease in productivity of labor and capitalarrow_forward
- in economics, what are the following ⦁ the aggregate supply (AS) curve in the immediate short run. ⦁ the aggregate supply (AS) curve in the short run. ⦁ the aggregate supply (AS) in the long run.arrow_forwardWhich of these will increase aggregate supply? The Environmental Protection Agency (EPA) announces new, tighter standards for lead in dust on floors and windowsills. OThe president raises tariffs on Chinese imports. The president asks Congress for $200 billion for rebuilding roads and bridges. The Secretary of Education finalizes rules that make it more difficult for students to obtain federal loans.arrow_forwardExplain whether each of the following events will increase, decrease, or have no effect on longrun aggregate supply. The United States experiences a wave of immigration. Congress raises the minimum wage to $15 per hour. Intel invents a new and more powerful computer chip. A severe hurricane damages factories along the East Coast. Explain whether each of the following events shifts the short-run aggregate-supply curve, the aggregate-demand curve, both, or neither. For each event that does shift a curve, note the direction. Households decide to save a larger share of their income. Florida orange groves suffer a prolonged period of below-freezing temperatures. Increased job opportunities overseas cause many people to leave the country. A pandemic causes 500,000 deaths and millions infected.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Economics (MindTap Course List)EconomicsISBN:9781337617383Author:Roger A. ArnoldPublisher:Cengage Learning
Economics (MindTap Course List)
Economics
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Cengage Learning