Using Figure 2 Above, Suppose That the Economy Started at PAE2

question 114

Multiple Choice

Using Figure 2 above, suppose that the economy started at PAE2. A potential change that could cause the economy to go from PAE2 to PAE3 might be:

• A) wealth level increases.
• B) interest rates increase.
• C) taxes increase.
• D) domestic income increases.

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Definitions:

Sunshine

The light and heat that come from the sun.

Melanoma

A type of skin cancer that develops from melanocytes, the cells that produce the pigment melanin that colors our skin, hair, and eyes.

Interpret

To explain or provide the meaning of something, often translating complex data or findings into a comprehensible format.

Y-intercept

Where a line meets the y-axis on a graph.