The aggregate demand curve shows the relationship

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Chapter 1 / Exercise 1
Exploring Microeconomics
Sexton
Expert Verified
45) The aggregate demand curve shows the relationship between the ________ and ________.A) price level; quantity of real GDP demandedB) inflation rate; quantity of real GDP demandedC) real interest rate: quantity of real GDP suppliedD) nominal interest rate; quantity of real GDP demandedAnswer: A
45)
Page Ref: 816/434Learning Outcome: Macro-6: Explain the aggregate supply-aggregate demand model.46) Because of the slope(s) of the ________, we can say that a decrease in the price level leads to ahigher level of real GDP demanded.
46)
Page Ref: 817/435Learning Outcome: Macro-6: Explain the aggregate supply-aggregate demand model.47) Which of the following wouldnotbe considered a positive addition to household wealth?
47)
Page Ref: 817/435Learning Outcome: Macro-6: Explain the aggregate supply-aggregate demand model.48) According to theʺwealth effect,ʺwhen the ________ falls, the ________ rises.
48)
Page Ref: 817/435Learning Outcome: Macro-6: Explain the aggregate supply-aggregate demand model.10
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The document you are viewing contains questions related to this textbook.
Exploring Microeconomics
The document you are viewing contains questions related to this textbook.
Chapter 1 / Exercise 1
Exploring Microeconomics
Sexton
Expert Verified
49) Which of the following best describes theʺinterest rate effectʺ?A) An increase in the price level raises the interest rate and chokes off government spending.B) An increase in the price level raises the interest rate and chokes off investment andconsumption spending.C) An increase in the price level lowers the interest rate and chokes off investment andconsumption spending.D) An increase in the price level lowers the interest rate and chokes off government spending.Answer: B
49)
Page Ref: 818/436Learning Outcome: Macro-6: Explain the aggregate supply-aggregate demand model.

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