In the AS/AD Model, the Repercussion That a Change in Aggregate

question 80

Multiple Choice

In the AS/AD model, the repercussion that a change in aggregate quantity demanded has on production and subsequently on income and expenditures is called the:

• A)accelerator effect.
• B)expenditure effect.
• C)multiplier effect.
• D)money wealth effect.

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Definitions:

Social Facilitation

The tendency for people to perform differently when in the presence of others than when alone, typically showing improvement in performance on simple or well-practiced tasks.

Stationary Bike

A device for indoor cycling that stays in one place, often used for exercise or training purposes.

Cyclist

An individual who rides a bicycle, whether for transportation, recreation, sport, or fitness.

Social Facilitation

The tendency for people to perform differently when in the presence of others than when alone, typically better on simple or well-practiced tasks and worse on complex or new ones.