Use the Following to Answer Questions

question 113

Multiple Choice

Use the following to answer questions :
Exhibit: Shift in Aggregate Demand
-(Exhibit: Shift in Aggregate Demand) In this graph, initially the economy is at point E, with price P₀ and output Y. Aggregate demand is given by curve AD₀, and SRAS and LRAS represent, respectively, short-run and long-run aggregate supply. Now assume that the aggregate demand curve shifts so that it is represented by AD₁. The economy moves first to point ______ and then, in the long run, to point ______.

• A) A; D
• B) D; A
• C) C; B
• D) B; C

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Definitions:

Closed-Ended

Pertaining to a question or survey response option that limits answers to a set of predefined choices, making data easier to quantify.

Negative Wording

The use of language with negative connotations or phrasing that can influence the responses or perceptions in surveys and experiments.

Self-Serving Bias

The common human tendency to attribute positive events to one's own character but attribute negative events to external factors.

Response Set

A collection of all possible answers or outputs that can be given in response to a stimulus or question in a survey, test, or experiment.