What Would Happen to Aggregate Demand If the Federal Government

question 121

Multiple Choice

What would happen to aggregate demand if the federal government increased military purchases and state and local governments increased their road building budgets at the same time?

• A)​AD would increase.
• B)​AD would increase, because only federal government purchases affect AD.
• C)​AD would increase only if the change in federal purchases were smaller than the change in state and local purchases.
• D)​AD would decrease only if the change in federal purchases was smaller than the change in state and local purchases.

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Definitions:

Resource-Oriented Team

Describes a group of individuals organized with a focus on efficiently utilizing resources (human, technical, financial) to achieve its goals.

Conflict Management Strategies

Techniques and methods used to handle and resolve conflicts in a constructive manner within an organization.

Cooperative Strategy

A strategic approach where organizations or individuals work together towards mutual goals, often involving partnerships, alliances, or collaborative projects.

Win-Win Outcomes

Situations where all participating parties benefit or achieve their objectives.