A decrease in the price level causes households to purchase more goods and services. This is illustrated on the AD/AS model as a shift of the aggregate demand curve to the right.

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True

False

A realistic unemployment rate in the U.S. that corresponds with a real GDP growth rate of 0.5 percent growth would be a rate that is above 5 percent.

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True

False

Suppose a stock market crash makes people feel less wealthy. The decrease in wealth would cause people to decrease consumption, which shifts the aggregate demand curve to the left.

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True

False

The aggregate demand curve slopes downward because lower prices cause real wealth to increase, interest rates to decrease, and consumption to increase.

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True

False

A decrease in the money supply will cause the long-run aggregate supply curve to shift to the left because of the presence of monetary neutrality.

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True

False