Question 13 1 points Save Answer Figure 14-1 8 093m 09m Refer to the Figure 14-1. If the economy is at A and there is a fall in aggregate demand, what happens to the economy in the short run? 0 a. It stays at A. O b. It moves to B. O c. It moves to C. Q d. It moves to D. Question 17 Which statement best explains an increase in consumer spending? 'A a. People spend more when the price level rises because the dollars they hold are worth more. ' b. People spend more when the price level falls because the dollars they hold are worth less. 'A C. People spend more when the price level rises because the dollars they hold are worth less. 'A d. People spend more when the price level falls because the dollars they hold are worth more. Question 21 Which statement best describes the effects of a fall in the price level? A . . a , .' a. Dollars become more valuable, and interest rates rise. '' b. Dollars become more valuable, and interest rates fall. 'A' c. Dollars become less valuable, and interest rates rise. 'A' d. Dollars become less valuable, and interest rates fall