The Aggregate Demand Curve Slopes Downward

question 93

Multiple Choice

The aggregate demand curve slopes downward
I. for the same reasons that an ordinary demand curve does.
II. in part because when the price level falls, the real wealth of the public falls, and this induces people to change their consumption.
III. because as the price level falls, the net export component of aggregate demand increases.

• A) I, II, and III
• B) II and III
• C) II only
• D) III only

---

Definitions:

Damaged Office Equipment

Damaged office equipment refers to workplace tools and machines that have been impaired or broken, affecting their functionality.

Subsidiary Ledger

A detailed ledger supporting the summary-level data in the general ledger, used for tracking individual components like customer and supplier balances.

Individual Accounts

Separate financial accounts maintained for different customers, employees, or entities to track transactions distinctly.

Common Characteristic

refers to a shared attribute, quality, or feature among items, individuals, or concepts within a particular group or category.