Which of the Following Would Cause Aggregate Demand to Decrease

question 269

Multiple Choice

Which of the following would cause aggregate demand to decrease?

• A) The government increases taxes on both business and personal income.
• B) A drop in the foreign exchange value of the dollar
• C) The Fed increases the amount of money in circulation.
• D) Businesses and households believe that the economy is headed for good times, so they begin to feel increased security about their jobs.

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Definitions:

Analytical Target

A specific goal used in data analysis to guide the direction of study and the application of analytical methods.

Movement Of Capital

Refers to the flow of money for the purpose of investment, trade, or business production internationally.

Crew Activity

involves the tasks or work performed by a group of workers acting together, often referenced in contexts like film production, construction, or aviation.

Job Expansion

Increasing the scope or range of tasks and responsibilities associated with a specific job to enhance employee satisfaction and productivity.