What Does a Fall in the Economy's Overall Level of Prices

question 167

Multiple Choice

What does a fall in the economy's overall level of prices tend to do?

• A) It tends to raise both the quantity demanded and supplied of goods and services.
• B) It tends to raise the quantity demanded of goods and services, but lower the quantity supplied.
• C) It tends to lower the quantity demanded of goods and services, but raise the quantity supplied.
• D) It tends to lower both the quantity demanded and the quantity supplied of goods and services.

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