If Europe and Japan Experience Rapid Growth in Their Incomes

question 20

Multiple Choice

If Europe and Japan experience rapid growth in their incomes, other things constant, this will cause

• A) a decrease in the exports of the United States.
• B) an increase in the exports of the United States.
• C) a decrease in the national income of the United States.
• D) a decrease in aggregate demand in the United States.

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Definitions:

Displacement

In psychology, a defense mechanism where an individual redirects emotional feelings from their original source to a substitute target.

Behaviour

The way an individual acts or responds when faced with external or internal triggers.

Anger

A strong feeling of displeasure or hostility, often arising in response to perceived wrong or injustice.

Adrenocorticotropic Hormone

A hormone produced by the pituitary gland that stimulates the adrenal cortex to secrete cortisol and other hormones.