If Aggregate Demand Just Increased,which of the Following May Have

question 96

Multiple Choice

If aggregate demand just increased,which of the following may have caused the increase?

• A)an increase in government purchases
• B)an increase in the interest rate
• C)an increase in the price level
• D)an increase in imports

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Definitions:

Capital Goods

Long-term assets used in the production of other goods and services, like machinery, buildings, and equipment.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, often measured by GDP.

Opportunity Costs

Opportunity costs represent the benefits or values that are forfeited as a result of choosing one alternative over another.

Guns

Firearms designed to discharge projectiles at high speeds, utilized for a variety of purposes including defense, hunting, and sporting activities.