A Decrease in Aggregate Demand Results in A(n)________ in the ________

question 43

Multiple Choice

A decrease in aggregate demand results in a(n) ________ in the ________.

• A)recession; long run
• B)expansion; long run
• C)expansion; short run
• D)recession; short run

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Definitions:

Lower Costs

Reducing expenses associated with business operations, production, or services, often to improve profitability.

Four-Actions Framework

A strategic tool used in blue ocean strategy to redefine market boundaries by looking at ways to eliminate, reduce, raise, and create factors the industry competes on.

Blue Ocean Strategy

A business strategy that focuses on creating new markets and demand, rather than competing in existing markets.

Competitive Advantages

The attributes that allow an organization to outperform its competitors, including cost structure, product offerings, brand reputation, and customer service.