Consider the Nature of Macroeconomic Equilibrium

question 36

Multiple Choice

Consider the nature of macroeconomic equilibrium.If,at a particular price level,aggregate output demanded is less than that supplied by producers,then

• A)the price level will rise toward its equilibrium value.
• B)the price level will decline toward its equilibrium value.
• C)the aggregate demand curve will shift to the right,re-establishing an equilibrium.
• D)the aggregate supply curve will shift to the left,re-establishing an equilibrium.
• E)the aggregate supply curve will shift to the right,re-establishing an equilibrium.

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Definitions:

Relative Concept

An idea or measurement that is understood in relation or comparison to something else, not absolute.

Absolute Concept

A theory or principle that is considered universally valid or applicable, without any conditions or exceptions.

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Urban neighborhoods that may be characterized by higher-density housing, lower income levels, and often, but not always, higher rates of crime and poverty.

Social Organization

The structured arrangement of relationships and roles within a society, guiding how members interact and behave.