If the Short-Run Aggregate Supply Curve Is Horizontal, And, If

question 73

Multiple Choice

If the short-run aggregate supply curve is horizontal, and, if each member of the general public chooses to hold a larger fraction of his or her income as cash balances, then:

• A) output and employment will increase in the short run.
• B) output and employment will decrease in the short run.
• C) prices will increase in the short run.
• D) prices will decrease in the short run.

---

Definitions:

Marketing Programs

Coordinated strategies that companies use to promote and sell their products or services to their target audience.

Multidomestic Marketing Strategy

A strategy where a company tailors its marketing approach to each country it operates in, acknowledging local preferences and customs.

Product Variations

Different versions of a product that a company offers to meet varied customer needs or preferences.

Advertising Programs

Structured campaigns designed to communicate the benefits of products or services to the target audience to increase awareness and sales.