The Bill of Rights. In 1789, Madison, then a member of the newly established U.S. House of Representatives, introduced 19 amendments to the Constitution. On September 25, 1789, Congress adopted 12 of the amendments and sent them to the states for ratification. Ten of these amendments, known collectively as the Bill of Rights, were ratified and became part of the Constitution on December 10, 1791.
If demand is inelastic, we know that the increase in price will cause quantity demanded to fall just a little. When price goes up, quantity demanded goes down, but not by much. To be precise, when demand is inelastic, the percentage change in quantity demanded is smaller than the percentage change in price.f price goes up and quantity remains unchanged, total revenue will rise. But the second effect is that quantity in fact will not remain unchanged. When price goes up, the quantity demanded (and therefore the quantity sold) goes down. And by itself, the lower quantity causes total revenue to go down.
Difficulty: E Type: D. Explain how aggregate quantity-demanded falls when the price level increases and the impact this has on interest rates and aggregate output. Aggregate quantity-demanded falls when the price level increases because the higher price level causes the demand for money to rise.With the money supply constant, the interest rate will rise to reestablish equilibrium in the money market. It is the higher interest rate that causes aggregate output to fall.t is a graph that shows the relationship between the aggregate quantity of output supplied by all firms in an economy and the overall price level. Difficulty: E Type: D. Explain why the aggregate supply curve is not a market supply curve.