?An increase in government purchases must always be accompanied by an increase in autonomous net taxes to boost aggregate demand.

When the AE curve shifts upward because the price level falls, the corresponding effect on the aggregate demand curve is

A) a shift rightward of the aggregate demand curve. B) a movement upward along the aggregate demand curve. C) a shift leftward of the aggregate demand curve. D) a movement downward along the aggregate demand curve. E) nothing because aggregate demand does respond to changes in the price level.

Please use the following statements to answer this question:

I. The process of testing and revising theories is central to the development of economics as a science. II. Theory is imperfect and may not adequately describe economic behavior in some cases. A) I and II are true. B) I is true and II is false. C) I is false and II is true. D) I and II are false.

Offering product-specific services ________ consumer demand and ________ the retailers' cost of selling the product.

A) decreases; increases B) decreases; decreases C) increases; decreases D) increases; increases

The field of macroeconomics studies ________ and microeconomics studies ________.

A. variables within a single economy; international variables B. economic aggregates; individual markets C. individual markets; economic aggregates D. international variables; variables within a single economy