If the Price Level in an Economy Rises and Its

question 126

Multiple Choice

If the price level in an economy rises and its output level decreases as it gravitates toward its potential GDP,then:

• A)a policy to manipulate the aggregate supply is being used.
• B)an active approach to correcting a recessionary gap is being used.
• C)an active approach to correcting an expansionary gap is being used.
• D)a passive approach to correcting a recessionary gap is being used.
• E)a passive approach to correcting an expansionary gap is being used.

---

Definitions:

Mastery Motivation

A type of motivation that drives individuals to achieve or master a task or skill.

Task-oriented

An approach or attitude focused primarily on accomplishing tasks or goals efficiently.

Learning Strategies

Techniques, methods, or plans of action designed to facilitate the acquisition, understanding, and retention of knowledge or skills.

Individualized Educational Program

An Individualized Educational Program (IEP) is a customized plan designed to meet the unique educational needs of a child with a disability, as defined under U.S. law.