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    Macroeconomics Study Set 40
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    Exam 10: Aggregate Supply and Aggregate Demand
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    Points Out That a Rise in the Price Level Decreases
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Points Out That a Rise in the Price Level Decreases

Question 354

Question 354

Multiple Choice

points out that a rise in the price level decreases the value of real wealth, which then decreases consumption.


A) The interest rate effect
B) The wealth effect
C) The open- economy effect
D) The substitution effect

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