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For the following questions, consult the diagram below.
Figure 15-2
-Refer to Figure 15-2. In a closed economy, which of the following would cause the aggregate demand curve to shift from AD to AD*?
Theories
Systematically organized principles designed to explain and predict phenomena, based on observation, experimentation, and reasoning.
Stereotypes
Oversimplified and widely held beliefs or opinions about the characteristics, attributes, and behaviors of members of a particular group.
Intergroup Conflict
Disagreement or confrontation between different groups, often arising from competition for resources or fundamental differences in values and beliefs.
Perceptions
The process of organizing, identifying, and interpreting sensory information to represent and understand the environment.
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