Figure 13-2 Shows Shifts in the Aggregate Demand Curve

question 1

Multiple Choice

Figure 13-2 shows shifts in the aggregate demand curve. Which of the following combinations would be illustrated by a shift in aggregate demand from AD₀ to AD₁?Figure 13-2

• A)A slow increase in government purchases combined with a large decrease in investment
• B)An increase in consumption combined with an increase in exports
• C)An increase in business tax rates combined with a decrease in consumer confidence
• D)An increase in the growth rates of a major trading partner combined with a severe slowdown in stock market wealth
• E)An increase in exports combined with an even larger increase in imports

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Definitions:

RNA Polymerases

Enzymes that synthesize RNA molecules from a DNA template during the process of transcription, key to gene expression.

Translation

The biological process of synthesizing proteins from messenger RNA sequences in the ribosomes.

tRNA Triplet

A trio of nucleotides in transfer RNA that matches a complementary codon in messenger RNA during the formation of proteins.

mRNA

Messenger RNA, a form of RNA, carries genetic instructions from DNA to the ribosome, indicating the order of amino acids for the protein products resulting from gene expression.