Table 9-1 ​

question 23

Multiple Choice

Table 9-1 ​
-In Table 9-1, the equilibrium level of output is

• A)2,500.
• B)3,000.
• C)3,500.
• D)4,000.

---

Definitions:

Aggregate Demand Curve

A graphical representation showing the relationship between the overall price level and the total demand for goods and services in an economy.

Marginal Propensity

The proportion of an additional income that an individual spends on consuming goods and services, rather than saving.

Consumption Function

An economic formula representing the relationship between total consumption and gross national income, suggesting how income influences spending behavior.

Aggregate Demand Curve

A graphical representation that shows the total quantity of goods and services that all households, businesses, and government are willing to purchase at each possible price level.