A change in the price level produces a ________ the aggregate demand curve. i. shift in ii. change in the slope of iii. movement along Question 2Answer a. i only b. iii only c. i and ii d. i and iii e. ii only

A change in the price level produces a ________ the aggregate demand curve. i. shift in ii. change in the slope of iii. movement along Question 2Answer a. i only b. iii only c. i and ii d. i and iii e. ii only

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter23: Aggregate Demand And Aggregate Supply

Section: Chapter Questions

Problem 2CQQ

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Question

A change in the price level produces a ________ the aggregate demand curve.

shift in

ii.	change in the slope of

iii.	movement along

Question 2Answer

i only

iii only

i and ii

i and iii

ii only

Defintion Defintion Curve that represents the graphical relationship between the total supply of goods and services and the price level in the economy. When the price level increases, producers tend to supply more of a product in the market to earn a higher revenue or vice versa.

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