A $100 Increase in Autonomous Government Purchases Has the Same

question 8

True/False

A $100 increase in autonomous government purchases has the same effect on the equilibrium level of real GDP as a $100 increase in autonomous investment spending would.

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Arousal

A physiological and psychological state of being awake or reactive to stimuli, often associated with increased heart rate, alertness, and readiness to respond.

Primary Drives

Basic, innate urges or needs that are essential for survival, such as hunger or thirst.

Drive-Reduction Principle

A theory in psychology that posits motivation arises from the desire to reduce an uncomfortable state of tension caused by unmet needs.

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