An Unexpected Decrease in Aggregate Demand

question 177

Multiple Choice

An unexpected decrease in aggregate demand

• A) causes the price level to fall and the unemployment rate to rise.
• B) causes the price level to fall and the unemployment rate to fall.
• C) causes the price level to rise and the unemployment rate to rise.
• D) causes the price level to rise and the unemployment rate to fall.

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Definitions:

Performance Reports

Documented assessments that provide information on the performance of activities, processes, or strategies against planned objectives.

Sales Price Variance

The difference between the actual sales revenue received from a product and the expected revenue, based on the planned selling price and actual quantity sold.

Actual Sales Price

The price at which goods or services are actually sold, which may vary from the list or expected price.

Budgeted Sales Price

Projected price at which a product is expected to be sold, used in financial planning and analysis.