An Increase in the Price Level Leads to

question 70

Multiple Choice

An increase in the price level leads to

• A) neither a movement along the aggregate supply curve nor a shift of the aggregate supply curve.
• B) a downward movement along the aggregate supply curve.
• C) a leftward shift of the aggregate supply curve.
• D) a rightward shift of the aggregate supply curve.
• E) an upward movement along the aggregate supply curve.

---

Definitions:

Retirement Savings Contributions Credit

A tax credit offered to lower-income individuals to encourage retirement savings, reducing tax liability for eligible contributions to retirement accounts.

Modified AGI

Adjusted Gross Income after adding back certain deductions, used to determine eligibility for certain tax benefits.

Qualified Retirement Plan

A retirement savings plan recognized by the IRS that offers tax benefits, such as deferral of income taxes on contributions and earnings.

Contributed

Refers to the act of providing or donating resources, such as money, time, or assets, towards a specific cause, project, or investment.