Refer to the Information Provided in Figure 12

question 193

Multiple Choice

Refer to the information provided in Figure 12.1 below to answer the questions that follow. Figure 12.1
-Refer to Figure 12.1. An aggregate demand shift from AD¹ to AD⁰ can be caused by

• A) a decrease in government spending.
• B) an increase in money supply.
• C) a decrease in the price level.
• D) an increase in the price level.

---

Definitions:

Disconfirming Instances

Instances or examples that provide evidence against a particular hypothesis or statement.

Generalization

A broader statement or principle derived from specific instances, making wider claims based on limited observations.

Generalization

A broad statement or concept derived from specific instances, often used to make predictions or assumptions about unobserved situations.

Plausible

Appearing likely or believable, though not necessarily true.