In Which Case Can We Be Sure Aggregate Demand Shifts

question 460

Multiple Choice

In which case can we be sure aggregate demand shifts left overall?

• A)people want to save more for retirement and the government raises taxes
• B)people want to save more for retirement and the government cuts taxes
• C)people want to save less for retirement and the government raises taxes
• D)people want to save less for retirement and the government cuts taxes

---

Definitions:

Risk-Free Asset

A financial investment that promises a certain return without any chance of monetary loss.

Portfolio

An assortment of financial assets owned by a person or an organization.

Beta

A criterion for the volatility, or established risk, inherent in a security or portfolio ensemble in the context of the broader market.

Portfolio

A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including mutual funds and ETFs.