In the Short Run with Fixed Prices, an Increase in Investment

question 317

Multiple Choice

In the short run with fixed prices, an increase in investment of $100 billion

• A) increases real GDP by $100 billion.
• B) increases real GDP by less than $100 billion.
• C) increases real GDP by more than $100 billion.
• D) decreases real GDP by $100 billion because of the decrease in induced expenditures.

---

Definitions:

Normal Retirement Age

The age at which a person is eligible to retire with full benefits, typically determined by government or by individual retirement plans.

Job Simplification

is the process of breaking down jobs into their simplest components and removing unnecessary complexity to increase efficiency and ease in performance.

Positive Discipline

A method of teaching and guiding individuals, particularly children, which focuses on positive points of behavior rather than punishment.

Work-Life Balance

The equilibrium between professional duties and personal life, ensuring neither side negates the importance or fulfillment of the other.