An Increase in Investment Causes the Price Level to ________

question 18

Multiple Choice

An increase in investment causes the price level to ________ in the short run and ________ in the long run.

• A)increase; increase further
• B)increase; decrease
• C)decrease; decrease further
• D)decrease; increase

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Definitions:

Flow Time

The time taken for a unit to move through an entire system or process, from start to finish.

Work-In-Process

Items or materials that are in the stage of production but have not yet been completed.

Lateness

The occurrence of a task or delivery being completed past its expected or agreed-upon time.

Priority Rules

Guidelines or criteria used to determine the sequence in which tasks, projects, or products are addressed or processed.