-In the Above Figure, the Economy Is at Point a When

question 214

Multiple Choice

-In the above figure, the economy is at point A when changes occur. If the new equilibrium has a price level of 120 and real GDP of $11.0 trillion, then it must be the case that

• A) aggregate demand has increased.
• B) aggregate supply has increased.
• C) aggregate demand has decreased.
• D) aggregate supply has decreased.

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Definitions:

Semantic Filters

Information processing mechanisms that selectively interpret and give meaning to communication based on personal experiences and knowledge.

Attitudes

A settled way of thinking or feeling about something, typically reflected in a person's behavior.

Active Listening Skills

The ability to fully concentrate, understand, respond to, and remember what is being said in conversation.

Communication Tool

A medium or instrument that facilitates the exchange of information or messages between individuals or groups.