If the Price Level Is Constant and the Slope of the AE

question 291

Multiple Choice

If the price level is constant and the slope of the AE curve is 0.75, a decrease in government expenditures of $100 leads to a decrease in real GDP of

• A) $25.
• B) $100.
• C) $400.
• D) $800.

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Definitions:

New Zealand Mudsnails

A species of very small, invasive snail originating from New Zealand, known for impacting freshwater ecosystems in various parts of the world.

Asexual Reproducers

Organisms that reproduce without the involvement of sex cells, resulting in offspring genetically identical to the parent.

Germ Cell

Immature reproductive cell; gives rise to haploid gametes when it divides.

Chromosome Number

The total count of chromosomes present in the nucleus of a cell, which varies across different species and is crucial for genetics.