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Yunkai wants to know more about interest rates and the price level. Suppose the interest rate falls because of the level of prices changes. Which
Yunkai wants to know more about interest rates and the price level. Suppose the interest rate falls because of the level of prices changes. Which of the following would be correct? The interest rate falling would cause an increase in aggregate demand. The interest rate falling would cause a decrease in aggregate demand. The interest rate falling would cause a rise in real GDP. O The interest rate falling would cause a decrease in real GDP. All the other answers are incorrectConsider the aggregate supply (AS) curve. Which of the following is correct? In the long run AS curve, prices of goods and services are fixed. In the long run AS curve, nominal wages change readily to changes in the price level. O In the long run AS curve, nominal wages and output prices are not variable fixed. In the long run AS curve, nominal wages are not changing but output prices are changing. O All the other answers are incorrect
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