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Figure 33-2

question 131

Multiple Choice

Figure 33-2 Figure 33-2 -Refer to Figure 33-2. If the economy is at S and there is a reduction in aggregate demand, in the short run the economy A) stays at S. B) moves to T. C) moves to U. D) moves to V.
-Refer to Figure 33-2. If the economy is at S and there is a reduction in aggregate demand, in the short run the economy

Definitions:

Marginal Benefit

The uplift in satisfaction or value derived from the consumption of an additional unit of a product or service.

Marginal Cost

An additional expense incurred from the production or acquisition of one more unit of a good or service.

Efficiency

The ability of a system or process to achieve a goal using the least amount of resources possible.

External Benefits

Positive effects experienced by third parties or the broader society as a result of an economic transaction or activity that are not reflected in market prices.

Figure 33-2 ​

Definitions:

Figure 33-2