When Aggregate Demand Meets Aggregate Supply in the Vertical Portion

question 72

Multiple Choice

When aggregate demand meets aggregate supply in the vertical portion of the aggregate supply curve,

• A)an increase in demand will cause prices to rise but no change in output.
• B)an increase in demand will cause output to rise but no change in prices.
• C)an increase in demand will cause prices to fall but no change in output.
• D)an increase in demand will cause output to fall but no change in prices.

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Definitions:

Structure Change

Modifications or alterations in the organizational architecture, including reshaping departments, authority lines, and job roles to improve efficiency or adapt to new strategies.

Cohesive Group

A group in which members bond tightly with one another and remain motivated to stay part of the group due to shared goals or values.

Employee Resistance

Opposition or pushback by employees toward changes or policies introduced in the workplace, often rooted in fear of the unknown or perceived negative impacts.

Win-Win Attitude

An approach or mindset focused on finding solutions or agreements beneficial to all parties involved in a negotiation or conflict.