What Is the Result of a Decrease in the Price

question 39

Multiple Choice

What is the result of a decrease in the price level?

• A) This will shift the aggregate demand curve to the left.
• B) This will shift the aggregate demand curve to the right.
• C) This will move the economy down along a stationary aggregate demand curve.
• D) This will move the economy up along a stationary aggregate demand curve.

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Definitions:

Predictive Validity

Evidence that test scores are able to predict a future criterion or standard. A type of criterion-related validity.

Predictive Validity

A measure of how well a test score or outcome can predict future performance, behavior, or outcomes in a related area.

Cognitive Ability

The capacity to perform higher mental processes of reasoning, remembering, understanding, problem solving, and decision making.

Cognitive Ability

Refers to the capacity of an individual to perform mental tasks, including learning, understanding, problem-solving, reasoning, and remembering.