0
In principle, the Aggregate Demand (AD) curve is typically downward sloping rather than vertical, as it represents the relationship between the overall price level and the quantity of goods and services demanded. However, if the AD curve were to be vertical, it would imply that changes in the price level do not affect the total quantity of goods and services demanded, which is a characteristic of a perfectly inelastic demand. This situation could occur in the long run when all prices are flexible, and the economy is at full employment, making output determined solely by supply factors rather than demand.
What else can I help you with?
What is a perfectly inelastic supply curve?
A perfectly inelastic supply relation would be defined as one where the quantity produced remains static under any price change. If we'd plot this curve in the familiar demand-supply framework with price being on the y-axis and quantity on the x-axis, the curve would be vertical.
Where would you expect to find sand deposits on the curve in a river?
A sand deposit will usually occur on the curve of a river. It will show when the river is low, and all of the water will usually flow to the middle or the inside of the curve.Ê
What is the shape of demand curve in monopoly?
The demand curve is downwards sloping with price on the vertical axis and quantity demanded on the horizontal axis. This is because as products get more expensive the quantity demanded decreases, other things being equal. Put another way, there is a negative correlation between price and quantity demanded.
Why would you expect firms that set price to do so in the elastic portion of their demand curve?
I'm having trouble finding a descent response
What is the example of titration curve in monoprotic acid?
An example of a titration curve for a monoprotic acid, such as hydrochloric acid with sodium hydroxide, would show a sharp equivalence point. Initially, the pH is low due to the presence of the strong acid, then rises gradually as the base is added until it sharply increases at the equivalence point, showing a steep vertical rise.
A reduction in the level of unemployment would have which effict with respect to the nation's production possibilities curve..........?
It would not shift the curve; it would be represented by moving from a point inside the curve toward the curve.
What does vlt mean in math?
In mathematics, "vlt" typically stands for "vertical line test." This is a method used to determine if a curve or graph represents a function. According to the vertical line test, if a vertical line intersects the graph at more than one point, then the graph does not represent a function, as it would imply that a single input has multiple outputs.
What is half of parabola?
A curve. It would be called a parabolic curve.
What would be the best blackberry curve?
I would say either the curve 9320,8520 or one of the bolds
What is better curve or tour?
the tour has a better camera but the curve has better graphics i would go with the curve.
How would the demand curve of cigarettes?
Demand curve will be perfect inelastic
Which will not cause the supply curve to shift?
A change in price level would cause movement along the demand curve, but would not cause the curve itself to shift.
