Which of the Following Statements Concerning the Aggregate Demand and Aggregate

question 181

Multiple Choice

Which of the following statements concerning the aggregate demand and aggregate supply model is correct?

• A) The aggregate demand and aggregate supply model is nothing more than a large version of the model of market demand and supply.
• B) The price level and quantity of output adjust to bring aggregate demand and supply into balance.
• C) The aggregate supply curve shows the quantity of goods and services that households, firms, and the government want to buy at each price.
• D) All of the above are correct.

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Definitions:

Negative Reinforcer

A stimulus which, when avoided or removed after a certain behavior, enhances the probability of that behavior occurring again.

Punishing Event

An event or stimulus that decreases the likelihood of the behavior that it follows, often used in behavior modification techniques.

Negative Reinforcement

A behavior modification process where the removal of an unfavorable outcome or stimulus strengthens a desired behavior.

Positive Reinforcement

Increasing behaviors by presenting positive reinforcers. A positive reinforcer is any stimulus that, when presented after a response, strengthens the response.