Aggregate Demand

question 112

Multiple Choice

Aggregate demand

• A)decreases if expected future income rises.
• B)increases if the exchange rate rises.
• C)increases if government expenditures decrease.
• D)increases if the expected inflation rate increases.
• E)increases if aggregate supply increases.

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Definitions:

Subjectivism

A philosophical stance asserting that knowledge and value are influenced by and dependent upon personal perspectives and experiences.

Fallacy

A mistake in the process of reasoning which makes an argument fundamentally incorrect.

Pony

A small horse breed known for its intelligence and strength.

Appeal To Majority

A fallacy that occurs when one asserts that a proposition is true because most people believe it to be true.