The Aggregate Demand-Aggregate Supply Framework Indicates That the Long-Run Effect

question 53

Multiple Choice

The aggregate demand-aggregate supply framework indicates that the long-run effect of a ________ in the money supply is an increase in ________,everything else held constant.

• A)fall; aggregate output
• B)fall; the price level
• C)rise; aggregate output
• D)rise; the price level

---

Definitions:

Physical Development

The biological progression of a human being's growth and capability, encompassing changes in body size, muscle strength, and coordination.

Sensory Capacities

The abilities of an organism to receive, process, and respond to sensory stimuli from the environment, involving the use of sensory organs.

Motor Skills

Abilities required to perform movements and tasks, involving the coordination of muscles and nervous system; categorized into fine (small movements) and gross (larger movements) motor skills.

Developmental Period

A timeframe in an individual's life during which significant growth, changes, and maturation occur.