An Increase in Aggregate Demand, All Other Things Unchanged, Will

question 72

Multiple Choice

An increase in aggregate demand, all other things unchanged, will generate _______ in potential output and _______ in the price level.

• A)an increase; no change
• B)a decrease; no change
• C)no change; an increase
• D)no change; a decrease

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Definitions:

Terminally Ill

A state of having a disease or condition that is incurable and expected to lead to death.

Emotional Stress

Emotional stress involves feelings of strain and pressure resulting from adverse or demanding circumstances, differing from physical stress in its psychological impact.

Free Association

A psychoanalytic technique in which a patient says whatever comes to mind without censorship as a way to explore the unconscious.

Psychodynamic

A psychological theory or approach that examines the unconscious processes as they are manifested in a person's present behavior.