person has $50,000 and the price level is 120. The price level falls to 113. As a result there is a change in the purchasing power of the $50,000. This change in the purchasing power of $50,000 is referred to as the ____________________ and it helps to explain why the AD curve slopes ____________. a. asset effect, downward b. dollar effect, downward c. asset effect, upward d. international trade effect, downward e. real balance effect, downward