The Change in Aggregate Expenditures Resulting from a Movement in the Domestic

question 36

Multiple Choice

The change in aggregate expenditures resulting from a movement in the domestic price level, which in turn changes the price of domestic goods in relation to foreign goods, is known as the:

• A)international trade effect.
• B)multilateral equilibrium condition.
• C)international exchange rate effect.
• D)magnified international pricing effect.
• E)international deficit effect.

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Definitions:

External Funding Requirement

The amount of money needed to be raised from external sources to finance the planned activities or investments of an organization or project.

Growth In Assets

An increase in a company's or individual's asset base over a specific period.

Current Liabilities

Obligations of a company due within one year, including accounts payable, short-term loans, and other similar debts.

Percentage Of Sales Method

An accounting technique used to forecast the future financial positions based on a set percentage of sales.