Aggregate supply and/or aggregate demand change as a result of the following forces. Trace the effect they have on the nation's price level and real GDP. Question: If the price of inputs rises and personal income taxes rise:

Group of answer choices

A. Price index falls, and the change in real GDP is uncertain.

B. The change in price index is uncertain, and real GDP rises.

C. The change in price index is uncertain, and real GDP falls.

D. Neither the price index nor real GDP changes.

E. Price index falls, and real GDP falls.

When the supply of real credit is upward-sloping and the demand for real credit is downward-sloping, an increase in the budget deficit causes aggregate demand to

Group of answer choices

A. rise by more than the deficit changes.

B. rise by less than the deficit changes.

C. fall by an amount less than the deficit changes.

D. rise by an amount equal to the deficit changes.