A Decrease in Aggregate Demand Will Cause a Greater Decline

question 229

Multiple Choice

A decrease in aggregate demand will cause a greater decline in real output the

• A) less flexible is the economy's price level.
• B) more flexible is the economy's price level.
• C) steeper is the economy's AS curve.
• D) larger is the economy's marginal propensity to save.

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Definitions:

Heterozygous

Referring to having two different alleles of a particular gene, one inherited from each parent.

Phenotypes

The observable characteristics or traits of an organism, resulting from the interaction of its genotype with the environment.

Red Eyes

Refers to an eye color in some animals, resulting from the reflection of light in the eyes or lack of pigmentation.

Multiple Allele System

A situation in genetics where more than two alleles exist for a given gene within a population.