In the Aggregate Demand-Aggregate Supply Model in the Short Run

question 159

Multiple Choice

In the aggregate demand-aggregate supply model in the short run, an increase in the money supply will lead to a(n) _____

• A) increase in both the price level and real GDP.
• B) increase in the price level only.
• C) increase in real GDP and a decrease in the price level.
• D) decrease in real GDP and an increase in the price level.

---

Definitions:

Positive Reinforcer

A stimulus that, when presented after a behavior, increases the likelihood of that behavior happening again.

Negative Reinforcer

A stimulus whose removal following a behavior increases the likelihood of that behavior being repeated in the future.

Secondary Reinforcer

A stimulus that gains its reinforcing power through its association with a primary reinforcer; not naturally rewarding.

Negative Reinforcement

A psychological principle where the removal of an adverse stimulus strengthens a behavior.