The AD curve shows the various amounts of real output that people are willing and able to
A) buy at different income levels.
B) buy at different price levels.
C) sell at different profit levels.
D) sell at different price levels.
E) none of the above

Question

Quizplus · Accepted Answer

The AD (Aggregate Demand) curve shows the various amounts of real output (goods and services) that people are willing and able to buy at different price levels, not income, profit, or selling price levels. This reflects the inverse relationship between the price level and the quantity of output demanded.

The AD Curve Shows the Various Amounts of Real Output