A Movement Down and to the Left Along the Aggregate

question 57

Multiple Choice

A movement down and to the left along the aggregate supply curve will occur when

• A) firms' average markup is stable and a decrease in real GDP causes unit costs to fall
• B) world oil prices fall,thus decreasing the price level
• C) a change in fiscal policy causes aggregate expenditure to increase
• D) firms decide to produce less than before at each price level
• E) an increase in real GDP causes the price level to fall

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Definitions:

Quasi-experimental

A research design that seeks to establish cause-and-effect relationships but lacks random assignment of participants to control and experimental groups.

Attitudes

A psychological tendency expressed by evaluating a particular entity with some degree of favor or disfavor, reflecting how one feels about something.

Pretest

An initial test administered before the start of an experiment or intervention to determine baseline levels of participants' knowledge, abilities, or attitudes.

Nonequivalent Control Group Pretest-posttest Design

An experimental design where participants are not randomly assigned to groups and both groups are pre-tested and post-tested, allowing comparison despite the lack of random assignment.