An Increase in the Aggregate Expenditures Schedule

question 80

Multiple Choice

An increase in the aggregate expenditures schedule

• A) increases aggregate demand by the amount of the increase in aggregate expenditures only.
• B) increases aggregate demand by the amount of the initial increase in aggregate expenditures times the multiplier.
• C) decreases aggregate demand by the amount of the increase in aggregate expenditures.
• D) decreases aggregate demand by the amount of the initial increase in aggregate expenditures times the multiplier.

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Definitions:

IPSPs

Inhibitory postsynaptic potentials, a kind of synaptic potential that makes a postsynaptic neuron less likely to generate an action potential.

Action Potentials

Rapid, temporary changes in the electrical charge of a cell's membrane, allowing for the transmission of signals along neurons.

Graded Potentials

Changes in membrane potential that vary in size and do not follow the all-or-none principle, important in the initiation of action potentials.

Sodium-Potassium Pump

A vital cell membrane protein that exchanges sodium for potassium across the plasma membrane, critical for cellular functions.