-Refer to the Graph in the Exhibit

question 14

Multiple Choice

-Refer to the graph in the exhibit.What does the graph illustrate regarding the economy?  

• A) that the expansionary gap has been closed
• B) that the contractionary gap has been closed
• C) that the economy will experience deflation
• D) that the economy will experience inflation

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Definitions:

Modeling Clay

A pliable material used in arts and crafts, which can be shaped and molded into various forms, often used for creating sculptures.

Conservation

A concept in cognitive development where a child understands that changing the form of a substance or object does not change its amount, overall volume, or mass.

Object Permanence

The understanding that objects continue to exist even when they cannot be seen, heard, or touched.

Reversibility

In cognitive psychology, the ability to recognize that actions can be reversed and objects can be returned to their original state.