In the short run, a decrease in aggregate demand will lead to
A) no change in the price level and a decrease in real GDP.
B) an increase in the price level and a decrease in real GDP.
C) a decrease in the price level and an increase in real GDP.
D) an increase in the price level and an increase in real GDP.
E) a decrease in the price level and an increase in the unemployment rate.
E
You might also like to view...
A decrease in the price of a good will a. increase demand
b. decrease demand. c. increase quantity demanded. d. decrease quantity demanded.
Command-and-control regulation has been highly successful in protecting and cleaning up the U.S. environment. For instance, America’s environment has become much cleaner since the ___________ was passed in 1970.
a. Clean Water Act b. Clean Air Act c. Safe Drinking Water Act d. Wilderness Act
To bring her family of four up to the poverty line, a woman would need to earn almost $_______ per hour, 40 hours per week, 52 weeks a year.
Fill in the blank(s) with the appropriate word(s).
A juice company moves from a small kitchen into a large former soda factory that provides space for future expansion. Which of the following offers the best explanation of why average total costs are high as production gets underway in the new plant?
a. Most of the staff is inexperienced. b. The building is being underutilized. c. Ingredients are often seasonal. d. The firm offers volume discounts.