When the Price Level Changes,which of the Following Variables Will

question 51

Multiple Choice

When the price level changes,which of the following variables will change and thereby cause a change in the aggregate quantity of goods and services demanded?

• A)the real value of wealth
• B)the interest rate
• C)the value of currency in the market for foreign exchange
• D)All of the above are correct.

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Definitions:

Positive Reinforcement

The process of encouraging or establishing a pattern of behavior by offering reward when that behavior is exhibited.

Negative Reinforcement

A process in behavioral psychology where the removal of an unfavorable event or outcome after the display of a behavior increases the likelihood of the behavior being repeated in the future.

Positive Punishment

Adding an unfavorable outcome or event following an undesired behavior to decrease the likelihood of that behavior happening in the future.

Negative Punishment

The removal of a desirable stimulus following a behavior, intended to decrease the likelihood of that behavior occurring again.