If the Price Level Is Taken as Given in a Simple

question 99

Multiple Choice

If the price level is taken as given in a simple macro model with demand-determined output,it is implicitly being assumed that

• A)net exports are positive.
• B)net exports are negative.
• C)the marginal propensity to consume out of disposable income is equal to the marginal propensity to spend out of national income.
• D)all resources in the economy are fully employed.
• E)producers can provide whatever output is demanded of them without requiring higher prices to offset any higher costs.

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Definitions:

Meissner's Corpuscles

Specialized nerve endings in the skin that are sensitive to light touch, enabling the perception of texture, shape, and fine details.

Merkel's Receptors

Specialized nerve endings in the skin that respond to light touch and pressure, helping in the perception of texture and shape.

Pacinian Corpuscles

Nerve endings in the skin responsible for sensitivity to vibration and pressure, aiding in the detection of textures and fine touch.

Haptic

Relating to or based on the sense of touch, particularly in reference to electronic devices that provide feedback through physical sensations or vibrations.