Suppose Our Economy Is in Macroeconomic Equilibrium with an Upward-Sloping

question 171

Multiple Choice

Suppose our economy is in macroeconomic equilibrium with an upward-sloping aggregate supply curve and a downward-sloping aggregate demand curve.An increase in aggregate demand will

• A)increase aggregate supply.
• B)decrease the price level.
• C)cause the aggregate supply curve to shift to the right.
• D)increase real GDP.

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Definitions:

Tears

A clear liquid secreted by the lacrimal glands of the eye to lubricate the eyes and protect them from foreign particles.

Vitreous Humor

A clear gel that fills the space between the lens and the retina of the eyeball.

Presbyopia

A condition associated with aging in which the eye exhibits a progressively diminished ability to focus on near objects.

Myopia

A vision condition in which close objects are seen clearly but distant objects appear blurred.