If Consumption Increases, the Aggregate Demand Curve Will

question 122

Multiple Choice

If consumption increases, the aggregate demand curve will:

• A) shift to the left.
• B) shift to the right.
• C) remain unchanged, but the economy will move upward along the curve to a higher quantity demanded.
• D) remain unchanged, but the economy will move downward along the curve to a lower quantity demanded.

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Definitions:

Concurrent Validity

The degree to which the results of a particular test or measurement correlate with those of a previously validated measure taken at the same time.

Content Validity

The extent to which a test measures all aspects of the content it's intended to cover.

Kuder-Richardson Reliability

A measure of the consistency of test scores across items within a test, commonly used to assess the reliability of dichotomously scored tests.

Content Validity

The extent to which a test measures all facets of the concept it intends to assess.