Because of the Slope(s)of the ________,We Can Say That a Decrease

question 40

Multiple Choice

Because of the slope(s) of the ________,we can say that a decrease in the price level leads to a higher level of real GDP demanded.

• A)aggregate demand curve
• B)short-run aggregate supply curve
• C)long-run aggregate supply curve
• D)short-run and long-run aggregate supply curves

---

Definitions:

Credible Threat

In a sequential game with two players, a statement made by Player 1 that truthfully (credibly) threatens a penalizing action against Player 2 if Player 2 does something that Player 1 does not want Player 2 to do. Opposite of empty threat.

Coercion

Coercion refers to the practice of persuading someone to do something by using force or threats.

Empty Threat

A declared intention to perform an action that is not actually intended to be carried out, often used as a strategic bluff.

Repeated Game

A strategic situation where the same game is played multiple times, allowing for strategy development based on prior outcomes.