Which Statement Partly Explains Why the Aggregate Demand Curve Is

question 118

Multiple Choice

Which statement partly explains why the aggregate demand curve is negatively sloped?

• A) When the price of cars manufactured in the United States increases, people buy more cars manufactured abroad.
• B) When the price of cars manufactured abroad increases, people buy fewer cars manufactured in the United States.
• C) When the interest rate increases, people borrow more money.
• D) When the interest rate decreases, people borrow less money.

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Definitions:

Less Accountable

Refers to a reduced sense of responsibility or obligation to justify one's actions or decisions to others.

Social Loafing

The tendency for individuals to exert less effort when working in a group than when working alone.

Group Behavior

The ways in which people's behaviors are influenced when they are in groups, including how they interact and make decisions.

Try Hard

The act of applying significant effort or determination in order to achieve a goal or task.