When the price level increases people:
A. demand a smaller quantity of goods and services in the aggregate.
B. feel more wealthy.
C. have the same real value of assets, regardless of the change in the price level.
D. want to spend more, but can’t due to the prices of all goods and services going up.
A. demand a smaller quantity of goods and services in the aggregate.
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Using the above table, evaluate whether this tax is proportional, regressive or progressive. Show all work in arriving at your answer
What will be an ideal response?
The Federal Open Market Committee's "balance of risks" is an assessment of whether, in the future, its primary concern will be
A) higher exchange rates or higher unemployment. B) higher inflation or a stronger economy. C) higher inflation or a weaker economy. D) lower inflation or a stronger economy.