Which of the Following Would Likely Cause a Downward Shift

question 76

Multiple Choice

Which of the following would likely cause a downward shift in the AE curve and a movement upward along the AD curve?

• A)a decrease in the business confidence of firms
• B)a reduction in government purchases
• C)a decrease in the MPC
• D)a decrease in the price level
• E)an increase in the price level

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Definitions:

Infant

A term for a very young child or baby, typically from birth to one year of age, marked by rapid physical growth and development of motor and cognitive skills.

Attachment Behavior

Actions by an individual that seek closeness and comfort from their attachment figure, especially during stress or threat.

Chronic Early Stress

Prolonged exposure to stressful conditions or events during the early stages of life, potentially leading to long-term psychological and physical health issues.

Prefrontal Cortex

A region of the brain implicated in planning complex cognitive behavior, personality expression, decision making, and moderating social behavior.