Figure 7-1 -Refer to Figure 7-1.What Could Have Caused the Aggregate Demand

question 119

Multiple Choice

Figure 7-1

-Refer to Figure 7-1.What could have caused the aggregate demand curve to shift to the right from AD₁ to AD₂?

• A)an increase in exports
• B)an increase in imports
• C)a decrease in defense spending
• D)an increase in the domestic price level

Understand the equilibrium dynamics in response to shifts in demand or supply.

Identify the economic consequences of government price interventions.

Distinguish between buyers and sellers in terms of surplus and market behavior.

Understand how various factors affect demand and supply in the market.

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