Which of the Following Helps Explain Why the Aggregate Demand

question 10

Multiple Choice

Which of the following helps explain why the aggregate demand curve slopes downward?

• A) If the price level increases, the purchasing power of the fixed quantity of money decreases, causing people to buy less.
• B) If the price level increases, the purchasing power of the fixed quantity of money increases, causing people to buy more.
• C) If domestic prices increase, we substitute domestic goods for imported goods.
• D) If domestic prices decrease, we substitute imported goods for domestic goods.

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Definitions:

Constructive Conflict

A situation in which differing opinions or viewpoints lead to productive discussion and possible innovation or resolution, rather than negative outcomes.

Medium Conflict

refers to a level of disagreement or contention that is neither minimal nor extreme, capable of stimulating productive discussion without causing significant disruption.

Functional Conflict

Constructive or cooperative conflict, which contributes positively to the performance or goals of the group or organization.

Greater Effort

The increased amount of mental or physical energy put into a task or activity to achieve better outcomes.