Which of the Following Would Shift the Aggregate Demand Curve

question 199

Multiple Choice

Which of the following would shift the aggregate demand curve leftward year after year?

• A) a one-time tax cut
• B) a one-time increase in government expenditures on goods and services
• C) inflation
• D) negative growth in the quantity of money

---

Definitions:

Price Taker

A market participant that accepts market prices as given and has no influence to alter the price of the good or service.

Buyer

A person or organization that purchases goods or services.

Law Of Demand

The economic principle stating that, all else being equal, as the price of a good or service decreases, consumer demand for it will increase, and vice versa.

Quantity Demanded

The quantity demanded is the amount of a good or service that consumers are willing and able to purchase at a given price, holding all else constant.