In the Short Run, a Positive Demand Shock _____ Aggregate

question 86

Multiple Choice

In the short run, a positive demand shock _____ aggregate output and _____ the aggregate price level.

• A) reduces; increases
• B) increases; reduces
• C) reduces; reduces
• D) increases; increases

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Definitions:

Oral Anticoagulant

Medication taken by mouth to prevent or treat blood clots by inhibiting the coagulation of blood.

Altruism

The selfless concern for the well-being of others, often at a cost to oneself.

Humanistic Approach

A psychological perspective emphasizing personal growth, self-actualization, and the inherent goodness of humans.

Psychology

The scientific study of the mind and behavior, examining how individuals think, feel, and act both as individuals and within groups.