-Use the Figure Above to Answer This Question

question 21

Multiple Choice

-Use the figure above to answer this question. At a price level of of 90,

• A) the aggregate quantity demanded exceeds real GDP and inventories will decrease.
• B) inventories increase and firms will increase production.
• C) the aggregate quantity demanded exceeds real GDP, inventories increase and the price level will rise.
• D) people will be forced to cut consumption so that aggregate demand will decrease.

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Definitions:

Prefrontal Cortex

The front part of the frontal lobes of the brain, involved in decision making, problem-solving, and controlling social behavior.

Motor Cortex

A region of the cerebral cortex involved in planning, controlling, and executing voluntary movements.

Primary Visual Cortex

The part of the cerebral cortex that receives and processes visual information from the eyes, located in the occipital lobe.

Motor Cortex

The region of the cerebral cortex involved in the planning, control, and execution of voluntary movements.