An Economy Is at a Full-Employment Equilibrium,and Then the Aggregate

question 61

Multiple Choice

An economy is at a full-employment equilibrium,and then the aggregate demand curve shifts leftward.As a result,the price level ________ and real GDP ________.

• A)rises;increases
• B)rises;decreases
• C)falls;increases
• D)falls;decreases
• E)falls;does not change

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Definitions:

Evolutionary Theory

A theory explaining the process by which different kinds of living organisms developed and diversified from earlier forms during the history of earth.

Genetic Drift

A mechanism of evolution in which allele frequencies of a population change over generations due to random sampling effects.

Early Experience

Events or exposures occurring at young ages that significantly influence an individual's future behavior and cognitive development.

Brain Growth

The process of development and maturation of the brain which involves increases in size, complexity, and functional capacity.