Suppose Workers Become Pessimistic About Their Future Employment,which Causes Them

question 16

Multiple Choice

Suppose workers become pessimistic about their future employment,which causes them to save more and spend less.If the economy is on the intermediate range of the aggregate supply curve,then:

• A) both real GDP and the price level will fall.
• B) real GDP will fall and the price level will rise.
• C) real GDP will rise and the price level will fall.
• D) real GDP and the price level will rise.

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Definitions:

Chocolate Ingestion

The act of consuming chocolate, which involves considerations of potential health impacts, including toxicity in pets and caloric content for humans.

Longitudinal Research

The study of developmental processes by taking repeated measures of the same group of participants at various stages of development.

Mental Abilities

The capacity to perform cognitive tasks, process information, and understand complex ideas.

Cross-Sectional Research

The study of developmental processes by taking measures of participants of different age groups at the same time.