Refer to the Following Figure When Answering the Following Questions

question 30

Multiple Choice

Refer to the following figure when answering the following questions.
Figure 13.5: AS/AD Model
-Consider Figure 13.5. If the Fed sets a lower inflation target, under rational expectations, the economy moves from point ________ to point ________.

• A) c; a instantly
• B) a; c slowly
• C) c; d instantly
• D) c; b slowly
• E) b; a instantly

---

Definitions:

Object Permanence

The understanding that objects continue to exist even when they cannot be observed (seen, heard, touched, smelled, or sensed in any way).

Habituation

The process by which an organism becomes accustomed to a repetitive stimulus, leading to a decrease in response over time.

Primary Circular Reactions

Repetitive actions or behaviors in infants focused on their own body, observed as a foundational stage in the development of cognitive skills.

Mirror Neurons

A type of brain cell that responds equally when an individual performs an action or when they observe another individual performing the same action.