Multiple Choice
Ceteris paribus,if average prices in the U.S.economy fall,then the
A) Real balances effect will lead to a lower quantity of U.S.output demanded.
B) Foreign trade effect will lead to a higher quantity of U.S.output demanded.
C) Interest rate effect will lead to a lower quantity of U.S.output demanded.
D) Profit effect will lead to a higher quantity of U.S.output demanded.
Correct Answer:

Verified
Correct Answer:
Verified
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