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    Principles of Macroeconomics Study Set 8
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    Exam 20: Aggregate Demand and Aggregate Supply: Two Causes of Economic Fluctuations
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    An Increase in the Price Level and a Reduction in Output
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An Increase in the Price Level and a Reduction in Output

Question 32

Question 32

Multiple Choice

An increase in the price level and a reduction in output would result from


A) a fall in stock prices.
B) a decrease in the supply of an important resource.
C) an increase in government expenditures.
D) an increase in taxes.

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