An Economic Expansion Caused by a Shift in Aggregate Demand

question 41

Multiple Choice

An economic expansion caused by a shift in aggregate demand causes prices to

• A)rise in the short run,and rise even more in the long run.
• B)rise in the short run,and fall back to their original level in the long run.
• C)fall in the short run,and fall even more in the long run.
• D)fall in the short run,and rise back to their original level in the long run.

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Definitions:

Effort Made

The amount of physical or mental energy expended towards accomplishing a task or goal.

Primary Reinforcers

Stimuli that satisfy basic survival needs and thus have intrinsic value, such as food, water, and warmth.

Biological Needs

Fundamental requirements that organisms must satisfy to maintain life, such as food, water, and shelter.

Learned Desire

A preference or craving developed through experience or conditioning rather than inherent or instinctual.