Solved

If You Have $5,000 in Wealth and the Price Level

Question 278

Multiple Choice

If you have $5,000 in wealth and the price level decreases 20 percent,then


A) the $5,000 will buy fewer goods and services.
B) the $5,000 will buy more goods and services.
C) the real value of the $5,000 decreases.
D) the real value of the $5,000 remains constant.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q10: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q48: The AD curve shows the sum of<br>A)

Q141: A decrease in short-run aggregate supply _

Q165: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The curve labeled

Q196: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The above figure

Q212: Aggregate demand increases when<br>A) foreign incomes fall.<br>B)

Q265: Which of the following shifts both the

Q273: Based on the figure above,short-run equilibrium occurs

Q274: People expect that the El Nino effect

Q293: The positive relationship between short-run aggregate supply