Which of the Following Sequences Results from an Increase in the Price

question 134

Multiple Choice

Which of the following sequences results from an increase in the price level?

• A) the money demand curve shifts leftward,the interest rate decreases,investment spending and autonomous consumption increase,the aggregate expenditure line shifts downward and there is a leftward movement along the aggregate demand curve.
• B) the money demand curve shifts rightward,the interest rate increases,investment spending and autonomous consumption decrease,the aggregate expenditure line shifts downward and there is a leftward movement along the aggregate demand curve.
• C) the money demand curve shifts leftward,the interest rate increases,investment spending and autonomous consumption increase,the aggregate expenditure line shifts downward and there is a leftward movement along the aggregate demand curve.
• D) the money demand curve shifts leftward,the interest rate drops,investment spending and autonomous consumption decrease,the aggregate expenditure line shifts downward and there is a leftward movement along the aggregate demand curve.
• E) the money demand curve shifts rightward,the interest rate increases,investment spending and autonomous consumption increase,the aggregate expenditure line shifts downward and there is a rightward movement along the aggregate demand curve.

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Definitions:

Social Identity

An individual's sense of who they are based on their group memberships, such as social, cultural, and family groups.

Accentuation

The process of emphasizing or stressing certain features or aspects, making them more noticeable.

Intergroup Differences

Variations in behavior, attitude, or other characteristics between different groups of people, often analyzed in social psychology.

Social Categorisation

The process of classifying people into groups based on shared characteristics, a fundamental operation in social cognition that affects perceptions and interactions.