An Economic Expansion Caused by a Shift in Aggregate Demand

question 41

Multiple Choice

An economic expansion caused by a shift in aggregate demand causes prices to

• A)rise in the short run,and rise even more in the long run.
• B)rise in the short run,and fall back to their original level in the long run.
• C)fall in the short run,and fall even more in the long run.
• D)fall in the short run,and rise back to their original level in the long run.

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Definitions:

Divinely Appointed Mission

A task or purpose believed to be assigned by a divine power, often invoking a sense of duty, destiny, or moral calling.

Telegraph Wire

A medium used historically for transmitting telegraphic messages through electrical signals over long distances.

Miles

A unit of length equal to 5,280 feet or approximately 1,609 meters, used primarily in the United States and the United Kingdom.

New York City

A major metropolitan city located in the state of New York, known for its significant cultural, financial, and media influence both nationally and internationally.