In the Long Run, the Output Level Is Determined by

question 135

Multiple Choice

In the long run, the output level is determined by

• A) aggregate demand.
• B) long-run aggregate supply.
• C) the government.
• D) household income.

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Definitions:

Pleasure Principle

The driving force of the id that seeks immediate gratification of all desires, wants, and needs.

Secondary Process Thinking

A concept in psychoanalytic theory referring to the rational and conscious thought processes guided by reality.

Internalization

The process of incorporating the beliefs, attitudes, or values of others into one's own belief system.

Moral Standards

Rules or principles governing what is considered right or wrong behavior.