In a Macro Model with a Constant Price Level, an Increase

question 58

Multiple Choice

In a macro model with a constant price level, an increase in autonomous desired consumption will cause the AE curve to shift

• A)upward and the AD curve to shift to the left.
• B)upward and a movement to the right along the AD curve.
• C)downward and the AD curve to shift to the left.
• D)upward and the AD curve to shift to the right.
• E)downward and the AD curve to shift to the right.

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Definitions:

Social Constructions

Concepts, beliefs, or practices that are created and maintained through social interactions and agreements among people.

Psychological State

A mental condition in which the qualities of a person's mind, at a particular time, influence emotions, behaviors, and thoughts.

Flow

A mental state of operation in which a person is fully immersed in a feeling of energized focus, full involvement, and enjoyment in the process of the activity.

Consciousness

The state of being aware of and able to think about oneself, one's surroundings, and one's thoughts and emotions.