In the long-run neoclassical view, when wages and prices are flexible, ________________________ determine the size of real GDP.
A. potential GDP and aggregate supply
B. potential GDP and aggregate demand
C. levels of output and aggregate supply
D. levels of wages and aggregate demand
Answer:A
In the long-run neoclassical view, when wages and prices are flexible, ________________________ determine the size of real GDP.
A. potential GDP and aggregate supply B. potential GDP and aggregate demand C. levels of output and aggregate supply D. levels of wages and aggregate demand
Explanation: Type: Multiple Choice