Which of the Following Would Shift the Aggregate Demand Curve

question 52

Multiple Choice

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

• A) an increase in government spending
• B) an increase in taxes
• C) an increase in interest rates
• D) an increase in labor productivity

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Definitions:

Private Property

A legal designation for the ownership of property by non-governmental legal entities, affording the owner exclusive rights to the use, disfranchisement, and transfer of the property.

Enforce Contracts

The process of legally ensuring that the terms of a contract are carried out as agreed, often involving judicial or regulatory intervention.

External Benefits

Advantages or positive effects generated by an economic activity that benefit individuals or entities not directly involved in the activity.

Market Forces

The natural forces of supply and demand that govern the functioning of the free market, determining prices and production levels.