A Rise in Autonomous Planned Investment Spending Causes the Equilibrium

question 98

Multiple Choice

A rise in autonomous planned investment spending causes the equilibrium level of aggregate output to ________ and shifts the ________ curve to the ________, everything else held constant.

• A) rise; MP; right
• B) rise; IS; right
• C) fall; IS; left
• D) fall; MP; left

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Definitions:

Perception

The process of organizing and interpreting sensory information to make it meaningful.

Absolute Threshold

The minimum stimulus intensity required to detect a stimulus or produce a sensory response in at least 50% of trials, indicating the limits of human sensory perception.

Difference Threshold

The smallest amount of change between two stimuli that a person can detect 50% of the time, also known as the just noticeable difference (JND).

Sensory Adaptation

The process by which sensory receptors become less sensitive to constant stimuli over time, leading to a decrease in sensation.