Which of the Following Will Lead to an Increase in Aggregate

question 8

Multiple Choice

Which of the following will lead to an increase in aggregate demand in the United States?

• A) a higher price level
• B) an increase in the real interest rate
• C) an increase in wealth due to a substantial appreciation in the value of stocks
• D) a decrease in real income in Japan and Western Europe

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Definitions:

Fraud

Deliberate deception to secure unfair or unlawful gain, or to deprive a victim of a legal right.

Standard Deduction

A set amount the IRS allows taxpayers to deduct from their income before income tax is applied, reducing taxable income.

Taxpayer

An individual or entity that is obligated to make payments to municipal or government taxation agencies.

Single

A filing status for a taxpayer who is unmarried and does not qualify for other filing statuses like Head of Household.