Question

On what does the quantity of real GDP supplied​ depend? The quantity of real GDP supplied depends on the​ _______.

A. state of​ technology, the trade balance and the foreign exchange​ rate, and fiscal policy
B. quantity of physical and human​ capital, fiscal​ policy, and monetary policy
C. quantity of labor​ employed, the quantity of physical and human​ capital, and the state of technology
D. quantity of labor​ employed, the quantity of real GDP​ demanded, and the state of technology

Answer 1

The quantity of real GDP supplied depends on the quantity of labor​ employed, the quantity of physical and human​ capital, and the state of technology

Option C

Explanation:

The production of real GDP depends on the labor market; on money, human capital and technical state; on land and natural resources; on creative ability.

It is the cumulative amount of finished product and service that U.S. companies intend to manufacture. It depends on how much labor, money, human capital and technical requirements as well as on land and natural resources and market expertise is hired.

When all other effects on output schedules remains constant, the relationship between the amount of actual GDP provided and the level of prices will continue. It occurs if, at the crossroads of the AD and AS curvature, the amount of real GDP demanded is the same.