Multiple Choice
Why does an increase in the price level cause a decrease in the aggregate quantity of goods and services demanded?
A) because as wealth rises, interest rates rise, and the dollar appreciates
B) because as wealth rises, interest rates fall, and the dollar depreciates
C) because as wealth falls, interest rates rise, and the dollar appreciates
D) because as wealth falls, interest rates fall, and the dollar depreciates
Correct Answer:

Verified
Correct Answer:
Verified
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