After an Increase in Autonomous Spending, in the Long Run

question 93

Multiple Choice

After an increase in autonomous spending, in the long run a change in the price level

• A) will make the AE curve steeper.
• B) will make the AE curve flatter.
• C) will reduce the effect of the multiplier.
• D) will not affect the multiplier.

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Definitions:

Creatine Phosphate

A high-energy reserve molecule in muscles and the brain that donates phosphate to ADP to regenerate ATP during the first seconds of intense work.

ATP

Adenosine triphosphate (ATP) is a complex organic chemical that provides energy to drive many processes in living cells.

Central Cavity

An internal space or chamber within a structure or organism, often referring specifically to the large, fluid-filled space in sponges.

Long Bone

A type of bone that is longer than it is wide, functioning to support the weight of the body and facilitate movement.