Which of the Following Events Will NOT Cause the Aggregate

question 173

Multiple Choice

Which of the following events will NOT cause the aggregate demand curve to shift?

• A) Businesses are optimistic about the economy,investing heavily in new equipment.
• B) Consumers' wealth drops because of a drop in the stock market.
• C) A rise in the aggregate price level causes a drop in exports.
• D) Governments increase spending on national security in the wake of terrorist attacks.

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Definitions:

Resistance Point

The price beyond which a negotiator is unwilling to go during a negotiation.

Fatigue Point

The moment at which physical or mental weariness reduces effectiveness or the ability to continue.

Distributive Bargainers

Negotiators who view the process as a fixed pie where any gain by one party is made at the expense of the other, promoting competitive tactics.

Resistance Point

The minimum outcome that a party is willing to accept during a negotiation, beyond which they will walk away from the table.