Use the Following Graph to Answer the Following Questions

question 96

Multiple Choice

Use the following graph to answer the following questions.This graph depicts an economy where aggregate demand has decreased,with no change in either short-run aggregate supply (SRAS) or long-run aggregate supply (LRAS) .

-Which of the following would have caused aggregate demand to decrease in the graph,such as occurred during the Great Depression?

• A) an increase in the money supply
• B) a decrease in tax rates
• C) a decrease in expected income
• D) an increase in consumer sentiment
• E) a decrease in savings

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Definitions:

Hierarchy Of Needs

A theory in psychology proposed by Abraham Maslow that prioritizes human needs from the most basic such as physiological needs, to higher levels of needs such as self-actualization.

Positive Psychology

A branch of psychology focused on the study of positive human functioning and flourishing on multiple levels that include the biological, personal, relational, institutional, cultural, and global dimensions of life.

Hierarchy Of Needs

A psychological motivational theory that describes human needs as a five-level hierarchy represented in the shape of a pyramid.

Self-Determination Theory

Argues that three needs—autonomy, competence, and relatedness—can explain much of human behavior.