Question: If there is a positive aggregate demand shock and the central bank does nothing in response, then the economy will rebalance itself by... O a.

 If there is a positive aggregate demand shock and the centralbank does nothing in response, then the economy will rebalance itself by...

If there is a positive aggregate demand shock and the central bank does nothing in response, then the economy will rebalance itself by... O a. Input prices falling. O b. A fall in the NAIRU. O c. Input prices rising. O d. An increase in the employment rate.An economy's aggregate production function is often assumed to exhibit returns to scale and marginal product. O a. Decreasing; constant. O b. Decreasing; diminishing. O c. Constant; diminishing O d. Constant; constant

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