If the economy were initially in equilibrium and the aggregate demand curve shifted to the left,
A)employment would fall
B)the price level would rise
C)the aggregate supply curve would shift rightward
D)the aggregate supply curve would shift leftward
E)the economy would experience an expansion period

Question

Quizplus · Accepted Answer

If the aggregate demand curve shifts to the left, there will be a decrease in demand for goods and services, leading to a decrease in output and employment. This will result in a contractionary period where there is a decrease in economic growth.

If the Economy Were Initially in Equilibrium and the Aggregate