Figure 15-3 -In Figure 15-3,if the Economy Is Initially at Equilibrium at at Equilibrium

question 40

Multiple Choice

Figure 15-3
-In Figure 15-3,if the economy is initially at equilibrium at point A,an unanticipated reduction in aggregate demand from A D₁ to A D₂ would cause,in the short run,

• A)the price level to fall from P₁ to P₂,real GDP to fall from Q₁ to Q₂,and the rate of unemployment to increase.
• B)the price level to move from P₁ to P₂,but real GDP would stay at Q₁.
• C)the price level to fall by some amount less than P₁ but greater than P₂,and the rate of unemployment would decrease.
• D)no change in either the price level or real GDP,but a decrease in unemployment.

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Definitions:

Absorbed

The process by which one substance becomes fully incorporated into another, or how energy or matter is taken in or soaked up.

Intramuscular (IM)

A method of administering medication or vaccines directly into a muscle.

Subcutaneous

Refers to the layer of tissue directly under the skin.

Medication Absorption

The process by which drugs are transferred from the site of entry into the body to the bloodstream, influencing the drug's efficacy and timing of effect.