A rising price level
A) increases aggregate demand.
B) decreases aggregate quantity supplied.
C) decreases aggregate quantity demanded.
D) increases aggregate quantity demanded.
E) decreases aggregate demand.

Question

Quizplus · Accepted Answer

A rising price level decreases aggregate quantity demanded because as prices increase, consumers are less willing to or able to purchase the same quantity of goods and services, reflecting the law of demand.

A Rising Price Level