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.

---

Definitions:

Bailment for Reward

A legal relationship that involves the temporary transfer of personal property to another for a specified fee or reward.

Grossly Negligent

Showing a severe lack of care or deliberation that results in blatant disregard for the safety or rights of others, often leading to extreme harm or risk.

Jeweller

A person or entity engaged in the business of selling and sometimes manufacturing jewelry.

Commercial Aircraft

Airplanes designated for carrying passengers or cargo as part of a business for profit, excluding military or private aircraft.