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    Business
  3. Study Set
    Economics-Macroeconomics
  4. Exam
    Exam 12: The Business Cycle, Inflation, and Deflation
  5. Question
    The Price Level Falls If
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The Price Level Falls If

Question 88

Question 88

Multiple Choice

The price level falls if


A) aggregate demand increases more rapidly than aggregate supply.
B) aggregate demand increases more slowly than aggregate supply.
C) aggregate demand increases and aggregate supply does not change.
D) neither aggregate demand nor aggregate supply change.

Correct Answer:

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