If the Price Level Falls and the Money Wage Rate

question 32

Multiple Choice

If the price level falls and the money wage rate does not change, some firms ________ and there is ________.

• A) shut down; a leftward shift of the aggregate supply curve
• B) shut down; a decrease in potential GDP
• C) start up; a rightward shift of the aggregate supply curve
• D) shut down; a decrease in the quantity of real GDP supplied
• E) start up; an increase in potential GDP

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Definitions:

Integration

The process of combining different methods, theories, or systems into a comprehensive whole, especially in psychotherapy, to enhance therapeutic effectiveness.

Eclecticism

The approach of making use of various theories, systems, or philosophies in an attempt to find the most effective approach for a client's needs.

Cognitive Therapy

A type of psychotherapy that helps patients challenge and change unhelpful cognitive distortions and behaviors to improve emotional regulation and develop personal coping strategies.

Psychoanalytic

Pertaining to a psychological theory and therapy method that focuses on unconscious processes as they are manifested in a person's behavior.