Because Increases in the Price Level Reduce Planned Aggregate Expenditure

question 130

Multiple Choice

Because increases in the price level reduce planned aggregate expenditure and short-run equilibrium output,

• A) the short-run aggregate supply line is horizontal.
• B) the short-run aggregate supply line is downward-sloping.
• C) the aggregate demand curve is horizontal.
• D) the aggregate demand curve is downward-sloping.
• E) the aggregate demand curve is upward-sloping.

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Definitions:

Polyandry

A system of marriage that allows women to have multiple husbands.

Exogamy

A social arrangement where marriage is allowed only outside a social group, clan, or tribe.

Endogamy

The practice of marrying within a specific social group, caste, or ethnic community, often to preserve cultural or religious identity.

Plural Families

Family structures that include more than two adult members in a domestic unit, often associated with polygamy or other forms of non-monogamy.