| 11. | In the neoclassical viewpoint, the real factors that determine output and unemployment affect the aggregate supply curve only.
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| 12. | However, real aggregate supply does constrain.
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| 13. | In economists'jargon, a rise in the oil price produces a downward shift in both aggregate supply and aggregate demand.
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| 14. | The " classical aggregate supply curve " comprises a short-run aggregate supply curve and a vertical long-run aggregate supply curve.
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| 15. | The " classical aggregate supply curve " comprises a short-run aggregate supply curve and a vertical long-run aggregate supply curve.
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| 16. | The " classical aggregate supply curve " comprises a short-run aggregate supply curve and a vertical long-run aggregate supply curve.
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| 17. | This model shows the price level and level of real output given the equilibrium in aggregate demand and aggregate supply.
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| 18. | The long-run aggregate supply curve of the classical model is affected by events that affect the potential output of the economy.
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| 19. | In that theory, the interaction of aggregate demand and aggregate supply determines the level of output and employment in the economy.
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| 20. | The committee will need to evaluate additional information on the balance of aggregate supply and demand and conditions in financial markets.
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