Use the Following to Answer Questions

question 282

Multiple Choice

Use the following to answer questions:
Figure: AD-AS
-(Figure: AD-AS) Refer to Figure: AD-AS. Suppose that initially the economy is at long-run equilibrium. If the government cuts taxes, _____ will shift to the _____.

• A) SRAS; right
• B) SRAS; left
• C) AD₁; right to AD₂
• D) AD₁; left to AD₃

---

Definitions:

Learned Response

A reaction developed as a result of experience, often through the process of conditioning in response to a specific environment or stimulus.

Stimulus Control

The process by which behaviors are modified by the presence or absence of certain stimuli.

Classical Conditioning

An educational method where associations are made between a naturally occurring stimulus and an environmental one, resulting in a conditioned reaction.

Operant Conditioning

An educational method where the intensity of an action is altered through rewards or penalties.