In the Classical Range of the Aggregate Supply Curve, Greater

question 2

Multiple Choice

In the classical range of the aggregate supply curve, greater spending for consumer and investment goods results in:

• A) stagflation.
• B) more unemployment.
• C) greater output.
• D) a higher price level.

---

Definitions:

Desertification

The conversion of lush, fertile ground into desolate deserts, commonly triggered by lack of rain, cutting down forests, or faulty agricultural techniques.

Deforestation

The clearing of trees and forests, typically leading to habitat destruction and biodiversity loss.

Reduced Precipitation

A decrease in the amount of rainfall over a specific period, often impacting water supply and ecosystem health.

Rising Temperature

An increase in the average temperature of the earth's atmosphere, often associated with global warming and climate change.