From the Perspective of Classical Macroeconomic Theory, If Aggregate Spending

question 58

Multiple Choice

From the perspective of classical macroeconomic theory, if aggregate spending was temporarily less than output,

• A)product price would increase, but resource prices would decrease.
• B)product price would decrease, but resource prices would increase.
• C)product and resource prices would decrease, so that aggregate spending would rise, expanding output.
• D)product and resource prices would increase, so that aggregate spending would equal output.

---

Definitions:

Content analysis

A research technique for systematically analyzing text data for patterns or themes.

Systematic observation

A structured method of data collection where observers consistently apply the same rules and criteria to assess and record events.

United States Census Bureau

The United States Census Bureau is a federal agency responsible for collecting, analyzing, and dispursing demographic data in the United States.

Archival research

A research method involving the examination of historical records or documents to understand past behaviors or events.