menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Macroeconomics Study Set 48
  4. Exam
    Exam 12: Aggregate Demand and Aggregate Supply
  5. Question
    If the Price Level Rises by 10%, the Purchasing Power
Solved

If the Price Level Rises by 10%, the Purchasing Power

Question 135

Question 135

Multiple Choice

If the price level rises by 10%, the purchasing power of $10,000 will:


A) increase to $11,000.
B) decrease to $9,000.
C) decrease to $1,000.
D) remain constant.

Correct Answer:

verifed

Verified

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

Related Questions

Q130: The aggregate demand curve is negatively sloped

Q131: Because of the multiplier effect, an increase

Q132: During the Great Depression, the United States

Q133: An inflationary gap:<br>A) is generally regarded as

Q134: As a result of a decrease in

Q136: Use the following to answer questions:<br>Figure: AD-AS

Q137: In the long run, inflationary and recessionary

Q138: An increase in the price of imported

Q139: If the price level decreases by 20%,

Q140: If membership in labor unions falls, production

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines