When Aggregate Demand Shifts Right Along the Short-Run Aggregate Supply

question 24

Multiple Choice

When aggregate demand shifts right along the short-run aggregate supply curve,unemployment

• A)falls,so there are upward pressures on wages and prices.
• B)falls,so there are downward pressures on wages and prices.
• C)rises,so there are upward pressures on wages and prices.
• D)rises,so there are downward pressures on wages and prices.

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Definitions:

Fixation

In psychology, an unhealthy or obsessive attachment to a person, object, or stage of development.

Traffic Ticket

A notice issued by law enforcement to a motorist or pedestrian for violating traffic laws.

Hostile Comments

Negative or aggressive remarks directed towards a person, often intended to hurt or offend.

Displacement

In psychoanalytic theory, a defense mechanism involving the transfer of an unwanted feeling or thought from one object or person to another that is less threatening.