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The Aggregate Demand Curve Slopes Downward

question 108

Multiple Choice

The aggregate demand curve slopes downward
I. for the same reasons that an ordinary demand curve does.
II. in part because when the price level falls, the real wealth of the public falls, and this induces people to change their consumption.
III. because as the price level falls, the net export component of aggregate demand increases.


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China

A country in East Asia, known for being one of the world's oldest civilizations and currently the most populous country.

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The growth of a population as the number of its individuals rises over a period.

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A country in Southeast Asia known for its tropical beaches, opulent royal palaces, ancient ruins, and ornate temples displaying figures of Buddha.

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A country in South Asia, known for its diverse cultures, languages, and history, the world's largest democracy and second most populous country.

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