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FIGURE 23-1 -Refer to Figure 23-1.Assume the Economy Is Initially in Equilibrium

question 52

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FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an exogenous rise in the price level to .Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts to ,a new equilibrium is established at point U,and the AD curve shifts from to ,and equilibrium from point B to point D. B) The AE curve shifts to ,a new equilibrium is established at point W,and the economy moves from point B to point C along . C) The AE curve shifts to ,a new equilibrium is established at point U,and the economy moves from point B to point A along . D) The AE curve shifts to ,a new equilibrium is established at point W,and the AD curve shifts from to ,and equilibrium moves from point B to point D. FIGURE 23-1
-Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an exogenous rise in the price level to .Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts to ,a new equilibrium is established at point U,and the AD curve shifts from to ,and equilibrium from point B to point D. B) The AE curve shifts to ,a new equilibrium is established at point W,and the economy moves from point B to point C along . C) The AE curve shifts to ,a new equilibrium is established at point U,and the economy moves from point B to point A along . D) The AE curve shifts to ,a new equilibrium is established at point W,and the AD curve shifts from to ,and equilibrium moves from point B to point D. .Now,suppose there is an exogenous rise in the price level to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an exogenous rise in the price level to .Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts to ,a new equilibrium is established at point U,and the AD curve shifts from to ,and equilibrium from point B to point D. B) The AE curve shifts to ,a new equilibrium is established at point W,and the economy moves from point B to point C along . C) The AE curve shifts to ,a new equilibrium is established at point U,and the economy moves from point B to point A along . D) The AE curve shifts to ,a new equilibrium is established at point W,and the AD curve shifts from to ,and equilibrium moves from point B to point D. .Which of the following statements describes the likely macroeconomic effects?

Definitions:

Unconditioned Stimulus

A stimulus that naturally triggers a response without any prior learning or association.

Unconditioned Response

In classical conditioning, a naturally occurring reaction to an unconditioned stimulus, such as salivating in response to food.

Successive Approximations

A method used in behavior therapy that rewards behaviors that are progressively closer to the desired behavior.

Target Behavior

A specific behavior that is chosen for change or intervention within a behavioral modification plan.

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