One result of a decrease in aggregate demand and no change in aggregate supply is
A) a rise in the price level.
B) an increase in employment levels.
C) an economic expansion.
D) a recession.

Question

Quizplus · Accepted Answer

A decrease in aggregate demand means that there is less demand for goods and services, which can lead to a decrease in production and employment levels. This decrease in demand can also lead to a decrease in prices, and if aggregate supply remains constant, this can result in a recession.

One Result of a Decrease in Aggregate Demand and No