Which of the Following Is One of the Explanations as to Why

question 119

Multiple Choice

Which of the following is one of the explanations as to why the aggregate demand curve slopes downward?

• A)Increases in the price level lower the interest rate and decrease consumption spending.
• B)Increases in the price level lower the interest rate and decrease investment spending.
• C)Increases in Australia's price level relative to the price level in other countries lowers net exports.
• D)Increases in the price level raise real wealth and lowers consumption spending.

---

Definitions:

Postganglionic Neurons

Postganglionic Neurons are the neurons in the autonomic nervous system that connect ganglia with the organs they innervate, transmitting signals from the central nervous system.

Norepinephrine

A neurotransmitter that is also a hormone secreted by the adrenal medulla.

Sympathetic System

A part of the autonomic nervous system responsible for the body's 'fight or flight' response, regulating involuntary body functions like heart rate and blood flow.

Ganglionic Neurons

Neurons that are part of the autonomic nervous system located in ganglia, which act as relay points for transmitting signals from the central nervous system to target organs.