Consider the Simple Multiplier When the Price Level Is Constant

question 99

Multiple Choice

Consider the simple multiplier when the price level is constant.We can say that national income is ________ and that the simple multiplier measures the horizontal shift in ________ in response to a change in autonomous desired expenditure.

• A)demand determined; the AS curve
• B)unit-cost determined; the AD curve
• C)constant; the AD curve
• D)demand determined; the AD curve
• E)constant; the AE curve

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Definitions:

Productive

The quality of having a high output or yield; being efficacious in generating desired results or outcomes.

Overall Mood

The general emotional tone or attitude encompassing how an individual or group feels at a given time.

Individual

Pertains to a single person or entity, distinct from others in a group or category.

Group

Two or more people who interact, share common goals, have unspoken or formal rules or norms, maintain stable role relationships, and form subgroups.