According to Aggregate Demand and Supply Analysis,the Negative Supply Shocks

question 55

Multiple Choice

According to aggregate demand and supply analysis,the negative supply shocks of 1973-1975 and 1978-1980 had the effect of

• A)increasing aggregate output,lowering unemployment,and raising the price level.
• B)decreasing aggregate output,raising unemployment,and raising the price level.
• C)increasing aggregate output,raising unemployment,and raising the price level.
• D)decreasing aggregate output,raising unemployment,and lowering the price level.

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Definitions:

Major Depression

A psychiatric disorder marked by significant and persistent feelings of sadness and despair, affecting daily functioning.

Antidepressant

Medications designed to alleviate symptoms of depression by adjusting chemical imbalances in the brain.