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In the short run, a decline in aggregate demand would be associated with:
Price Labor
Relates to the cost of labor expressed in terms of money paid for work done, influencing the pricing of goods and services in an economy.
Price Capital
Generally refers to the financial assets invested in a business entity to cover the initial and operational costs, influencing its market pricing strategies.
Marginal Productivity Theory
An economic theory suggesting that the wage or value of a factor of production is determined by its marginal contribution to the output of goods or services.
Income Inequality
The unequal allocation of financial resources among a community, resulting in disparities between affluent individuals and those in poverty.
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