Other Things Being Equal, as the Price Level Rises Exogenously

question 86

Multiple Choice

Other things being equal, as the price level rises exogenously, the aggregate expenditure (AE) function shifts

• A)down and the economy will move upward to the left along the AD curve.
• B)to the right and the AD curve will also shift to the right.
• C)upward and the economy moves upward to the left along the AD curve.
• D)down and the economy will move downward to the right along the AD curve.
• E)upward and the economy moves downward to the right along the AD curve.

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Definitions:

Restlessness

A state of inability to remain still or calm, often leading to physical or psychological discomfort.

Drowsiness

A state of feeling abnormally sleepy or tired, often leading to a decreased level of consciousness and a diminished ability to remain awake.

Self-instructional Technique

Cognitive-behavioral techniques where individuals guide their own actions and thoughts through verbalizations to themselves.

Contingency Approach

A management theory that suggests the most appropriate style of management is dependent on the context of the situation.