Which of the Following Would Shift the Aggregate Demand Curve

question 32

Multiple Choice

Which of the following would shift the aggregate demand curve to the left?

• A) an increase in the money supply
• B) a cut in federal income taxes
• C) an expected decrease in future income
• D) an increase in the price level

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Definitions:

Falling Prices

A situation in which the cost of goods and services decreases over time, which can result from factors like decreased demand or increased supply.

Mexican-American Identity

The cultural and national identity of Americans of Mexican descent, shaped by the history of Mexican-American relations and the blending of Mexican and American cultures.

American Southwest

A geographical region in the United States characterized by arid deserts, unique cultures, and significant historical landmarks.

1920s

A decade characterized by dramatic social and political change, economic prosperity in the United States, and the rise of jazz music and the flapper subculture.