A Shift to the Left by the IS Curve Can

question 78

Multiple Choice

A shift to the left by the IS curve can be achieved by all of the following, EXCEPT a(n) :

• A) decrease in government spending.
• B) increase in taxes.
• C) increase in the foreign interest rate.
• D) increase in the domestic price level.

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Definitions:

Volume

The space occupied by an object or substance, or encased within a holding device.

Mass

Mass is a measure of the amount of matter in an object, usually in kilograms or grams.

Liquids

A state of matter characterized by an indefinite shape that conforms to the shape of its container, but with a definite volume.

Solids

Materials with a fixed shape and volume, characterized by strong intermolecular forces.