An Increase in the Price Level in the Aggregate Expenditures

question 155

Multiple Choice

An increase in the price level in the aggregate expenditures model would:

• A)decrease aggregate expenditures and real GDP.
• B)increase aggregate expenditures and real GDP.
• C)increase aggregate expenditures and decrease real GDP.
• D)decrease aggregate expenditures and increase real GDP.

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Definitions:

Congruence

Congruence relates to the degree of agreement, harmony, or similarity between individual desires, values, or interests and external realities or expectations.

Organization's Members

Individuals who belong to and are actively involved in a particular organization, contributing to its activities and goals.

Congruence

Indicates a state of agreement, harmony, or compatibility between two or more aspects, such as values and actions.

Upward Communication

This refers to the process in which information flows from the lower levels of a hierarchy to the upper levels in an organization.