By Itself, a Fall in the Price of Oil Shifts

question 19

Multiple Choice

By itself, a fall in the price of oil shifts the

• A) short-run aggregate supply curve leftward and does not shift the aggregate demand curve.
• B) short-run aggregate supply curve rightward and does not shift the aggregate demand curve.
• C) aggregate demand curve leftward and does not shift the short-run aggregate supply curve.
• D) aggregate demand curve rightward and does not shift the short-run aggregate supply curve.

---

Definitions:

Main Effect

The direct effect of an independent variable on a dependent variable.

Factorial Design

An experimental design approach that involves investigating the effects of two or more independent variables at multiple levels on a dependent variable.

Main Effect

The direct influence of an independent variable on a dependent variable in an experiment, disregarding the effects of other variables.

Independent Variable

A variable that is manipulated by the researcher to observe its effect on the dependent variable in an experiment.