Which Statement Is FALSE

question 189

Multiple Choice

Which statement is FALSE?

• A) A rise in the price level lowers real wealth and results in a lower level of consumer spending.
• B) A rise in the price level increases the demand for money, raises the interest rate, and reduces investment spending.
• C) A fall in the price level will generally lead to a rise in the level of aggregate output demanded.
• D) A fall in the price level will reduce the demand for money, raise the interest rate, and increase investment spending.