If the AS Curve Is Vertical and There Is a Decrease

question 33

Multiple Choice

If the AS curve is vertical and there is a decrease in aggregate demand,the result is

• A)a decrease in the price level with no change in real GDP.
• B)an equal decrease in national income.
• C)an increase in the price level.
• D)an increase in national income.
• E)no change in either price level or real GDP.

---

Definitions:

Reasonable Standard Of Care

The degree of caution and concern an ordinarily prudent and rational person would use in similar circumstances.

Societal Need

Essential requirements that are necessary for the well-being and functioning of society as a whole.

Expectations

Expectations refer to the beliefs or forecasts about future events or outcomes, often based on past experiences or evidence.

Justice

The principle of fairness and moral rightness in the treatment of individuals, especially in the administration of laws.