Which Factor Causes a Leftward Shift of the Aggregate Demand

question 200

Multiple Choice

Which factor causes a leftward shift of the aggregate demand curve?

• A) an increase in consumption
• B) an increase in wealth
• C) an increase in exports
• D) a decrease in government spending

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Definitions:

Misleading Advertising

Marketing or promotion that deceives consumers about the nature or quality of a product or service.

Faulty

Products or goods that have defects or are not working as intended.

Sherman Act

A foundational antitrust law in the United States aimed at prohibiting monopolies and other practices that restrain free competition.

Price-Fixing

An illegal agreement among competitors to fix, raise, or lower the price of a product or service, rather than allowing the market to determine prices naturally.