If some non-price level determinant causes total spending to increase, there will be a(n):
A)upward movement along the aggregate demand curve.
B)downward movement along the aggregate demand curve.
C)leftward shift of the aggregate demand curve.
D)rightward shift of the aggregate demand curve.
E)decrease in the slope of the aggregate demand curve.

Question

Quizplus · Accepted Answer

An increase in total spending from a non-price level determinant will result in an outward shift of the aggregate demand curve to the right, indicating an increase in the quantity of goods and services demanded at any given price level. This is because the non-price level determinant is increasing the demand for goods and services, leading to an increase in the quantity of goods and services demanded at all price levels. Therefore, the correct answer is D - rightward shift of the aggregate demand curve.

If Some Non-Price Level Determinant Causes Total Spending to Increase