How does an increase in the price level affect the aggregate planned expenditure curve and the aggregate demand curve?
What will be an ideal response?
An increase in the price level shifts the aggregate planned expenditure curve downward and leads to a movement upward along the aggregate demand curve.
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The value of a slice of pizza to a consumer is equal to
A) its marginal benefit. B) the maximum price the consumer is willing to pay. C) the consumer surplus. D) Both answers A and B are correct. E) Both answers B and C are correct.
By how much did the Doha round of negotiations increase the world economy per year?
a. $100 to $150 billion b. $150 to $200 billion c. $200 to $250 billion d. $165 to $385 billion
In the case of Intimate Bookshop v. Barnes & Noble, Intimate alleged that Barnes & Noble
a. was bundling products in order to reduce competition. b. used technological advances to sell at lower prices. c. was buying books at discriminatory prices. d. had merged with other competitors in an effort to gain monopoly power.
The Security Market Line (SML) is upward-sloping, indicating that the:
A. Beta of an investment increases as its risk level increases B. Average expected return on investments decreases as their risk level decreases C. Average expected return on the risk-free asset increases as its beta increases D. Average expected return of the market portfolio increases as its beta increases