An Increase in the Price Level in the Aggregate Expenditures

question 122

Multiple Choice

An increase in the price level in the aggregate expenditures model would

• A) decrease aggregate expenditures and shift the AD curve to the left.
• B) increase aggregate expenditures and shift the AD curve to the right.
• C) decrease aggregate expenditures but would not shift the AD curve.
• D) increase aggregate expenditures but would not shift the AD curve.

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Definitions:

Scaling

The process of adjusting the size, volume, or proportion of an object or dataset, often applied in graphics, statistics, and various fields of science and engineering.

Function Header Line

The first line of a function definition in programming, which includes the function's name, return type, and parameters.

Function Prototype

A declaration of a function that specifies the function's name, return type, and parameters, but not its body.

Prototype

In programming, a prototype refers to the declaration of a function specifying its return type, name, and parameters, but not its body.