The relationship between the level of prices and the total demand for all goods and services is known as
A) aggregate supply.
B) market supply.
C) aggregate demand.
D) market demand.

Question

Quizplus · Accepted Answer

The relationship between the level of prices and the total demand for all goods and services is known as aggregate demand, which is the combination of individual demands of all consumers in an economy. Aggregate supply refers to the total amount of goods and services that firms are willing to produce and supply at a given price level. Market demand and supply refer to the demand and supply of a particular good or service in a specific market.

The Relationship Between the Level of Prices and the Total