When the U

question 8

Multiple Choice

When the U.S.price level rises relative to other nations' price levels,then

• A)U.S.firms' profits increase and the aggregate demand curve shifts rightward.
• B)U.S.exports increase and the aggregate demand curve shifts rightward.
• C)U.S.exports decrease,U.S.imports increase,and the aggregate demand curve shifts leftward.
• D)U.S.exports decrease,U.S.imports increase,and there is a movement upward along the aggregate demand curve.
• E)U.S.exports decrease,U.S.imports increase,and the aggregate demand curve shifts rightward.

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Definitions:

Crop Price

The market value at which a crop is traded, determined by supply and demand factors.

Countercyclical Payments

These are payments made by the government to producers, primarily in the agriculture sector, to buffer them against falling market prices and to support income stability across economic cycles.

Food, Conservation, And Energy Act

Also known as the 2008 Farm Bill, it's legislation focusing on agriculture policy, including food aid, conservation, and energy.

Freedom To Farm Act

A U.S. federal law enacted in 1996 aimed at allowing farmers more freedom in the planting choices for their subsidized crops, moving away from a system of rigid crop-specific subsidy payments.