Constrict Means To

question 28

Multiple Choice

Constrict means to:

• A) Expand or open wider
• B) Narrow
• C) Reduce blood flow
• D) Increase blood flow

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Definitions:

Multiplier

The ratio of change in the aggregate output (or income) to the change in an initial injection of spending, demonstrating the ripple effect in the economy.

Investment Curve

A graph showing the relationship between the rate of interest and the level of investment by firms, holding other factors constant.

Interest Rate

A fee, described as a percentage of the principal, that a borrower incurs from a lender for utilizing assets.

Aggregate Demand

The unified demand for all categories of goods and services within an economic framework, at a particular price level for a given time frame.