Which of the Following Would Cause the AD Curve to Shift

question 29

Multiple Choice

Which of the following would cause the AD curve to shift to the right?

• A)An increase in the real rate of interest
• B)A decrease in government purchases
• C)An increase in government purchases
• D)An increase in the rate of inflation
• E)A decrease in the rate of inflation

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Definitions:

Unperfected

Refers to a security interest or lien that has not been properly recorded or filed according to law, thus not fully enforceable against third parties.

Secured Transaction

A secured transaction involves a security interest in personal property, which serves as collateral for repayment of a debt or performance of an obligation.

Personal Property

Items of property that are not attached to real estate, such as vehicles, furniture, and electronics.

Debt

An amount of money borrowed by one party from another, typically with the condition that it is to be repaid with interest.