A Decrease in Aggregate Expenditure Has What Result on Equilibrium

question 153

Multiple Choice

A decrease in aggregate expenditure has what result on equilibrium GDP?

• A)Equilibrium GDP rises.
• B)Equilibrium GDP is not affected by a decrease in aggregate expenditure.
• C)Equilibrium GDP falls.
• D)Equilibrium GDP may rise or fall depending on the size of the decrease in aggregate expenditure relative to the initial level of GDP.

---

Definitions:

Autonomy Versus Shame

A stage in Erik Erikson's theory of developmental psychology focusing on toddlers developing independence and self-control, contrasting with feelings of shame and doubt.

Self-sufficiency

The ability to fulfill all of one's needs without reliance on external resources.

Responsibility

A duty or obligation to satisfactorily perform or complete a task assigned.

Psychosocial Development

A theory by Erik Erikson that proposes that an individual's personality develops through a series of stages influenced by social experiences.