In the Short Run, an Increase in Government Expenditure on Goods

question 253

Multiple Choice

In the short run, an increase in government expenditure on goods and services real GDP_____________ and the price level_____________.

• A) increases; falls
• B) decreases; falls
• C) decreases; rises
• D) increases; rises

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Definitions:

Basal Forebrain

A region at the base of the forebrain that is involved in learning and memory, among other functions.

Nerve Growth Factor

A protein essential for the growth, maintenance, and survival of certain neurons, playing a critical role in neural development and regeneration.

Synaptic Pruning

The process of reducing the number of synapses, or connections between neurons, which is thought to make the brain's network more efficient.

Dendrites

Branch-like extensions from the neuron cell body, which receive signals from other neurons.