An Increase in the Expected Price Level Shifts Short-Run Aggregate

question 3

Multiple Choice

An increase in the expected price level shifts short-run aggregate supply to the

• A)right,and an increase in the actual price level shifts short-run aggregate supply to the right.
• B)right,and an increase in the actual price level does not shift short-run aggregate supply.
• C)left,and an increase in the actual price level shifts short-run aggregate supply to the left.
• D)left,and an increase in the actual price level does not shift short-run aggregate supply.

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Definitions:

Median

The middle value of a data set when it is ordered from least to greatest, effectively splitting the data set into two equal parts.

Sample Variance

A measure of the variability or spread of a sample data set, calculated as the average of the squared differences from the sample mean.

Sample Mean

The mean of a collection of numbers, determined by adding all the values together and then dividing the total by the count of values in the set.

Median

The middle value in a dataset when arranged in ascending or descending order, effectively dividing the dataset into two equal halves.