When the Quantity of Money in the Economy Increases, the

question 162

Multiple Choice

When the quantity of money in the economy increases, the

• A) long- run aggregate supply curve shifts leftward.
• B) wealth effect is no longer operable.
• C) aggregate demand curve shifts rightward.
• D) aggregate demand curve does not shift but the economy moves along it.

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Definitions:

Hydrologic Cycle

The water cycle, which includes evaporation, precipitation, and flow to the ocean; supplies terrestrial organisms with a continual supply of fresh water.

Nitrification

The conversion of ammonia (NH3) to nitrate (NO3-) by certain bacteria (nitrifying bacteria) in the soil; part of the nitrogen cycle.

Transpiration

is the process by which moisture is carried through plants from roots to small pores on the underside of leaves, where it changes to vapor and is released to the atmosphere.

Aquatic Ecosystems

Water-based environments, including oceans, lakes, rivers, and wetlands, where plants and animals interact.