Which of the following will shift the aggregate demand (ADI)curve to the right?
A) Income taxes are raised.
B) The government reduces purchases to balance the budget.
C) Consumers become pessimistic about the future.
D) A new technology is developed that will increase profits.
E) Foreign economies fall into recession,reducing their demand for domestic exports.

Question

Quizplus · Accepted Answer

A new technology that increases profits will lead to increased investment and consumption, which will shift the ADI curve to the right.

Which of the Following Will Shift the Aggregate Demand (ADI)curve