-In the Above Figure, the Economy Is at Point a When

question 107

Multiple Choice

-In the above figure, the economy is at point A when changes occur. If the new equilibrium has a price level of 120 and real GDP of $17.0 trillion, then it must be the case that

• A) aggregate demand has increased.
• B) aggregate demand has decreased.
• C) aggregate supply has decreased.
• D) aggregate supply has increased.

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Definitions:

Posterior Parietal Cortex

An area of the brain located at the back of the parietal lobe, involved in integrating sensory information and in the coordination of movements.

Syntax

Sets of rules for putting together words; proposed to be unique to human language.

Visual Area V4

A region of the brain within the visual cortex that processes color perception and is involved in recognizing shapes and objects.

Temporal Cortex

A region of the cerebral cortex located in the temporal lobe of the brain, associated with processing auditory information and memory.