Which of the Following Is an Incorrect Statement

question 85

Multiple Choice

Which of the following is an incorrect statement?

• A)Macroeconomic equilibrium occurs at the intersection of the aggregate demand and aggregate supply curves.
• B)The aggregate supply curve indicates a positive relationship between the price level and GDP.
• C)Other things equal, a downward shift of the aggregate demand curve implies that the economy is entering a contractionary phase.
• D)Aggregate demand and aggregate supply determine the equilibrium price and quantity of any given good.
• E)The aggregate demand curve indicates a negative relationship between the price level and GDP.

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Definitions:

Reciprocal Misperceptions

A situation where groups or individuals have incorrect beliefs or assumptions about each other's attitudes, feelings, or desires, often exacerbating conflicts.

Homogeneous

Consisting of parts or elements that are all the same or similar in nature.

Heterogeneous

Composed of parts or elements that are different from each other, referring to diversity or variety within a group or structure.

Ingroup

Ingroup refers to a social group to which a person psychologically identifies as being a member.