ECON 102 QUIZ 3 - 100% Correct Questions and Answers

ECON 102 QUIZ 3 Question 1 of 10 Which of the following is a problem with the price system that can lead to a breakdown in the coordination of economic activity? Question 2 of 10 If prices are sticky Question 3 of 10 What are some reasons why coordination of economic affairs through the price system may not work perfectly? Question 4 of 10 One reason the aggregate demand curve is downward sloping is because of the Question 5 of 10 Which of the following would cause an increase in aggregate demand in the short run? Question 6 of 10 The long-run aggregate supply curve is Question 7 of 10 In the long run Question 8 of 10 What are the two tools of fiscal policy that governments can use to stabilize an economy? Question 9 of 10 An increased federal budget deficit resulting from a recession can actually help stabilize an economy through transfer payments because an increased budget deficit will transfer payments and thereby the income of some households. Question 10 of 10 Using expansionary policies to combat a recession would