Which One of the Following Would NOT Increase Aggregate Demand

question 257

Multiple Choice

Which one of the following would NOT increase aggregate demand?

• A) an increase in long-run aggregate supply
• B) a reduction in real interest rates
• C) tax decreases
• D) an increase in the amount of money in circulation

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Definitions:

Division

The process of assigning or distributing something into separate parts or groups.

Equation Complexity

A measure of the difficulty or intricacy of a mathematical equation, often based on the number of operations or variables involved.

Exponential Functions

Mathematical functions characterized by an expression in which a constant base is raised to a variable exponent.

Compound Interest

Interest for a loan or deposit that includes calculations on the original principal amount as well as the interest accumulated from earlier periods.