Which of the Following Would Most Likely Reduce Aggregate Demand

question 104

Multiple Choice

Which of the following would most likely reduce aggregate demand (shift the AD curve to the left) ?

• A) A reduced amount of excess capacity.
• B) Increased government spending on military equipment.
• C) An appreciation of the U.S.dollar.
• D) Increased consumer optimism regarding future economic conditions.

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Definitions:

Conciliation

A method of alternative dispute resolution where a conciliator helps parties in a dispute to reach a mutually satisfactory agreement to resolve their issues.

Negotiation

The process by which two or more parties communicate and come to an agreement or resolve a dispute.

Supreme Court of Washington

The highest court in the state of Washington, responsible for interpreting the state's constitution and laws.

Binding

A legal term indicating that an agreement, contract, or decision is enforceable by law.