The Change in Aggregate Demand That Results from Fiscal Expansion

question 121

Multiple Choice

The change in aggregate demand that results from fiscal expansion changing the interest rate is called the

• A)multiplier effect.
• B)crowding-out effect.
• C)accelerator effect.
• D)Ricardian equivalence effect.

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Definitions:

Archegonia

The female reproductive organ in ferns, mosses, and some gymnosperms, where the egg cell is produced and fertilization occurs.

Sperm

Male reproductive cells designed to fertilize female eggs in sexual reproduction.

Gametophyte

A stage in the life cycle of plants and algae that undergoes alternation of generations, responsible for producing gametes.

Prothallus

The free-living, haploid gametophyte in ferns and other seedless vascular plants.