A Decrease in Government Expenditure on Goods and Services

question 116

Multiple Choice

A decrease in government expenditure on goods and services

• A) increases aggregate demand.
• B) decreases aggregate demand.
• C) increases the aggregate quantity demanded.
• D) decreases the aggregate quantity demanded.

---

Definitions:

Modeling

The process of representing a system or behavior through a mathematical, physical, or simulation model to study and predict outcomes.

Behavioral Theorists

Psychologists who study and analyze human behavior through observable behaviors and external stimuli, without focusing on internal thought processes.

Social Contagion Effect

The phenomenon in which attitudes, behaviors, or emotions spread through a group or society, mimicking the spread of pathogens.

Celebrity

A widely recognized or famous person, often associated with entertainment industries, who attracts considerable public fascination and media attention.