If the price index rose from 3254 in year 1 to 289 in year 2

If the price index rose from 3254 in year 1 to 289 in year 2, then the rate of inflatic for this economy in year 2 would be: Which of the following would most likely increase aggregate supply? Other things being equal, the slope of the aggregate expenditure Will decrease as a result of a(n): When autonomous export(X) is added to consumption and investment spending, then the aggregate expenditures function will

Solution

1. Inflation =289/254-1=1.138-1

Inflation=13.8%

4. b Increase in productivity.

5 a decrease in MPC

6. Increase in autonomous export will shift up the aggregate expenditure in paralle fashion.