Fill in the blanks to make the following statements correct. a. In the long run, total output

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Fill in the blanks to make the following statements correct.

a. In the long run, total output is determined only by __________.   In the long run, aggregate demand
determines the __________ .

b. Permanent increases in real GDP are possible only if __________ is increasing.

c. Suppose illiteracy in Canada were eliminated, and the school dropout rate were reduced to zero. The effect would be a permanent __________ in productivity and \(\mathrm{a}(\mathrm{n})\) _________ in potential output.

d. A reduction in corporate income tax is likely to make _________ more attractive and thus shift the __________ curve to the right. The result is a(n) ____________ in  the short-run level of real GDP. In the long run, the
greater rate of __________ by firms will lead to a greater
rate of growth of ___________ .

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Related Book For  answer-question

Macroeconomics

ISBN: 9780133910445

15th Edition

Authors: Christopher T S Ragan

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