Econ104 - Exam3

Front 1

The supply of real GDP is a function of:
#the total expenditures of consumers, investors, and government
#the sum of wages, salaries, corporate profits, rents, and interest
#the quantities of labor, capital, and the state of tech
#only the state of tech

Back 1

The supply of real GDP is a function of: the quantities of labor, capital, and the state of tech

Front 2

In the macroeconomics short run:
#actual real GDP always equals potential GDP
#actual GDP may be less than or more than potential GDP
#the unemployment rate is zero
#by def. the economy is always moving away from full employment

Back 2

In the macroeconomics short run: actual real GDP may be less than or more than potential GDP

Front 3

Moving along the short-run aggregate supply curve:
#real GDP equals nominal GDP
#the real wage rate is constant
#the money wage rate, the prices of other resources, and potential GDP remain constant
#real GDP equals potential GDP

Back 3

Moving along the short-run aggregate supply curve: the money wage rate, the prices of other resources, and potential GDP remain constant

Front 4

An individual holds $10,000 in a checking account and the price level rises significantly, hence:
#the individuals real wealth decreases but real national wealth increases
#the individuals wealth increases
#there is no change in the individuals real wealth
#the individuals real wealth and consumption expenditure decrease

Back 4

An individual holds $10,000 in a checking account and the price level rises significantly, hence: the individuals real wealth and consumption expenditure decrease