From the Perspective of Classical Macroeconomic Theory, If Aggregate Spending

Multiple Choice

From the perspective of classical macroeconomic theory, if aggregate spending was temporarily less than output:

A) Product price would increase, but resource prices would decrease
B) Product price would decrease, but resource prices would increase
C) Product and resource prices would decrease, so that aggregate spending would rise, expanding output
D) Product and resource prices would increase, so that aggregate spending would equal output