Taking into Account the Upward- Sloping Short- Run Aggregate Supply

question 417

Multiple Choice

Taking into account the upward- sloping short- run aggregate supply curve, the short- run effect of an increase in government expenditures on real GDP is that

• A) real GDP increases by the same amount in the short run as in the long run.
• B) real GDP does not change in the short run because the price level increases.
• C) real GDP increases by more in the short run than in the long run.
• D) real GDP increases by less in the short run than in the long run.

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Definitions:

Learning Theory Approach

A perspective focusing on how individuals acquire new behaviors and knowledge through interactions with the environment, emphasizing the role of reinforcement and observation.

Telegraphic Speech

A stage in early child language development characterized by two-word sentences that express essential ideas, resembling the succinctness of a telegram.

Prelinguistic Speech

Vocalizations made by infants before they acquire language, including crying, cooing, and babbling.

Fundamental Communication

Basic and essential forms of interaction that enable understanding and expression between individuals, such as speaking, listening, and non-verbal cues.