True / False questions with EXPLAINATION
1. In AD - AS model , if the government increases tax on households ' income , the price and total output will both increase in short - run
2. In Keynesian cross model , the crossing point of AE and 45° line implies equilibrium in goods market
3. If domestic currency is depreciated in value , the Central Bank should buy foreign currency in the fixed exchange rate system.
4. In AD - AS model , the improvement in technology will shift both ASSR and ASLR curves to the right
