An Increase in the General Price Level Will Lead to

question 33

Multiple Choice

An increase in the general price level will lead to

• A) an upward movement along the short-run aggregate supply curve as firms increase output.
• B) a rightward shift of the short-run aggregate supply curve as firms increase output.
• C) a downward movement along the short-run aggregate supply curve as firms decrease output.
• D) a leftward shift of the short-run aggregate supply curve as firms decrease output.
• E) no change in output because input prices are sticky.

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Definitions:

Response Deprivation Theory

A theory suggesting that a behavior can become reinforcing when access to that behavior is restricted below its baseline level of occurrence.

Baseline Occurrence

The rate at which a behavior occurs before any intervention or conditioning is applied.

Probability-Differential Theory

The idea that an activity will have reinforcing properties when its probability of occurrence is greater than that of the reinforced activity.

Reinforcing Perception

The process through which the recognition or understanding of sensory information is strengthened, particularly in the context of learning and behavior modification.