Which of the following statements is correct?
A) The price level does not affect the level of real GDP demanded.
B) The lower the price level, the more the aggregate demand curve shifts rightward.
C) The lower the price level, the greater the quantity of real GDP demanded.
D) The higher the price level, the more the aggregate demand curve shifts rightward.
E) The lower the price level, the more the aggregate demand curve shifts leftward.
C
You might also like to view...
Relative to a closed economy, if Utopia opened itself to trade domestic tile producers would 
A. produce 150 fewer cases of tile. B. produce the same amount of tile. C. produce 100 fewer cases of tile. D. produce 150 more cases of tile.
Macroeconomics is converging with microeconomics because
A) macroeconomic relationships depend on microeconomic behavior. B) macroeconomics studies total output. C) government deficits and unemployment go together. D) inflation means a general increase in prices. E) microeconomic theories are easily testable whereas macroeconomic theories are difficult to test.