As the Price Level Increases, the Quantity of RGDP Demanded

question 52

Multiple Choice

As the price level increases, the quantity of RGDP demanded in the economy ____, and when the price level decreases, the quantity of RGDP demanded in the economy ____.

• A)​decreases, decreases
• B)​increases, increases
• C)​increases, decreases
• D)​decreases, increases

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Definitions:

Cash

Money in the form of coins or banknotes, especially that issued by a government.

Common Courtesies

Basic polite behaviors and gestures that are universally accepted and expected within a society.

Positive Reinforcement

A behavioral principle where the introduction of a stimulus following a desired behavior increases the likelihood of the behavior recurring.

Monetary Rewards

Financial incentives given to employees or individuals as a recognition of their work, achievement, or performance.