A Decrease in Aggregate Demand in the Economy Will Have

question 148

Multiple Choice

A decrease in aggregate demand in the economy will have what effect on macroeconomic equilibrium in the long run?

• A)The price level will fall,and the level of GDP will be unaffected.
• B)The price level will fall,and the level of GDP will fall.
• C)The price level will rise,and the level of GDP will fall.
• D)The price level will rise,and the level of GDP will be unaffected.

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Definitions:

School Psychology

A branch of psychology focused on supporting the academic, emotional, and social development of students in educational settings.

Psychological Testing

The practice of administering tests designed to measure cognitive, emotional, and behavioral functions in individuals.

Personnel Psychology

A branch of psychology that focuses on the workplace, including hiring, training, employee development, and organizational performance.

Clinical Psychology

The branch of psychology that focuses on diagnosing and treating mental, emotional, and behavioral disorders.