Consider the Following News Headline: "Governments Plan Massive Hospital Construction

question 40

Multiple Choice

Consider the following news headline: "Governments plan massive hospital construction programs across the country." Choose the statement below that best describes the likely macroeconomic effects.

• A)the AD curve shifts to the left; the price level falls and real GDP falls
• B)the AD curve shifts to the right; the price level rises and real GDP rises
• C)the AD curve shifts to the right and the AS curve shifts to the left; the price level rises and the effect on real GDP is indeterminate
• D)the AD curve shifts to the left and the AS curve shifts to the right; the price level falls and the effect on real GDP is indeterminate
• E)the AD and AS curves both shift to the right; the effect on the price level is indeterminate and real GDP rises

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Definitions:

Apparent Brightness

The perceived intensity of light from a celestial object, as observed from Earth.

Objects Around

Refers to the physical items or entities in one's immediate environment, often discussed in the context of perception and cognitive processing.

Feature Detector

neurons in the brain that respond to specific features of a stimulus, such as lines, edges, or movement.

Vision

The capability to understand the nearby surroundings through light in the visible spectrum that is reflected off of objects in the area.