Which of the Following Statements Is Correct

question 31

Multiple Choice

Which of the following statements is correct?

• A)An increase in exports shifts the aggregate demand curve leftward.
• B)A tax increase shifts the aggregate demand curve leftward.
• C)The higher the price level,the larger is the quantity of real GDP demanded.
• D)An increase in potential GDP shifts the aggregate demand curve rightward.
• E)An increase in people's expected future income shifts the aggregate demand curve leftward.

---

Definitions:

Supermarket Chains

Companies that own or operate multiple supermarket stores across different locations.

Blocking Variable

A variable introduced in an experimental design to account for potential variation, thereby reducing confounding effects.

Incentive

A benefit, reward, or cost that motivates an individual or organization to act in a certain way.

Exam

An official examination of an individual's understanding or mastery of a particular topic or ability.