Exhibit 14-1 
-Refer to Exhibit 14-1. Which of the following would be illustrated by a shift in aggregate demand from AD0 to AD1?
A) an increase in government purchases, combined with a decrease in investment
B) an increase in consumption, combined with an increase in exports
C) an increase in business tax rates, combined with a decrease in consumer confidence
D) faster growth rates by a major trading partner, combined with a decrease in stock market wealth
Correct Answer:
Verified
Q113: If both imports and exports rose,
A)AD would
Q114: An increase in business tax rates, combined
Q115: Exhibit 14-1 Q116: An increase in investment, combined with an Q117: Faster growth rates by a major trading Q119: A reduction in business expectations, combined with Q120: Which of the following increases U.S. aggregate Q121: Other things equal, an adverse supply shock Q122: The short-run aggregate supply curve is positively Q123: The short-run aggregate supply curve is drawn
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