Figure 17-3 -Refer to Figure 17-3. Starting from C and 3, Where

question 194

Multiple Choice

Figure 17-3
-Refer to Figure 17-3. Starting from c and 3, where does a decrease in aggregate demand move the economy to, in the short run and the long run?

• A) a and 1 in the short run, b and 2 in the long run
• B) b and 2 in the short run, a and 1 in the long run
• C) d and 4 in the short run, e and 5 in the long run
• D) b and 4 in the short run, e and 1 in the long run

---

Definitions:

External Environment

All external factors and forces that can affect an organization's performance, including economic, social, political, and technological aspects.

Competitive Advantage

The attributes or conditions that allow an organization to outperform its competitors.

Cost Efficiency

The effectiveness of an organization's ability to produce output at the lowest possible cost while maintaining quality.

Customer Service

The assistance and advice provided by a company to those people who buy or use its products or services.