Which of the following would result in a positive demand shock?

-The Canadian government increases income tax rates to pay down its debt.

-None of the choices given would result in a positive demand shock.

-The ability to work remotely from home increases worker productivity.

- Households decide to spend a greater proportion of their income investing in the stock market.



Question 2
Suppose a country's main industry is mining. Which of the following would shift this country's LRAS curve to the left?
-A global recession reduces the demand for minerals.

-Many of the country's mines reduce production or shut down entirely.

-The country eliminates its mandatory retirement age.

-None of the choices given would cause a leftward shift in LRAS

Answer rating: 100% (QA)

option 2 is correct None of option there would be positive demand shock Explanation positive ... View the full answer