Other Things Being Equal,when the Domestic Price Level Rises Exogenously

question 112

Multiple Choice

Other things being equal,when the domestic price level rises exogenously,

• A)Canadian goods become more expensive relative to foreign goods.
• B)the net export function shifts upward.
• C)the aggregate expenditure function shifts upward.
• D)imports of foreign goods fall.
• E)the desired investment function shifts upward.

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Definitions:

Fundamental Attribution Errors

The tendency to overemphasize personality-based explanations for behaviors observed in others while underemphasizing the role and power of situational influences.

Social Facilitation

Any positive or negative effect on performance that can be attributed to the presence of others, either as an audience or as coactors.

Mere-Exposure Effect

A psychological phenomenon where people tend to develop a preference for things merely because they are familiar with them.

Reciprocal Liking

The phenomenon where people tend to like others who like them back.