Which of the Following Would Cause the Aggregate Demand Curve

question 88

Multiple Choice

Which of the following would cause the aggregate demand curve to keep shifting rightward year after year?

• A)a one-time tax cut
• B)a one-time increase in government expenditures on goods and services
• C)inflation
• D)excess wage demands
• E)a persistent increase in the quantity of money

---

Definitions:

Interest Revenue

Income earned from the lending of funds or investment in interest-bearing assets, like loans, bonds, or savings accounts.

360-Day Year

An accounting convention that simplifies interest calculations by assuming there are 360 days in a year.

Note Payable

A financial obligation or loan evidenced by a written promissory note specifying payment terms.

Discounted Note

A promissory note whose proceeds are issued at a price lower than its face value, with the difference compensating the lender for risk.