What Could Create an Increase in the Price Level and a Decrease

question 1

Multiple Choice

What could create an increase in the price level and a decrease in real GDP in the short run?

• A) an increase in the money supply
• B) a decrease in taxes
• C) an increase in stock prices
• D) bad weather in agriculture producing provinces

---

Definitions:

Lobbying

The act of attempting to influence decisions made by officials in the government, often by special interest groups or individuals.

Proactive Strategy

Meets all the criteria of social responsibility, including discretionary performance.

Economic Responsibility

The duty of businesses and organizations to contribute positively to the economic well-being of communities and societies in which they operate.