Refer to the information provided in Figure 25.1 below to answer the question(s) that follow. Figure 25.1
-Refer to Figure 25.1. A movement from Point B to Point A can be caused by

Question

Refer to the information provided in Figure 25.1 below to answer the question(s) that follow.  Figure 25.1
-Refer to Figure 25.1. A movement from Point B to Point A can be caused by

Quizplus · Accepted Answer

A movement from Point B to Point A represents an increase in aggregate demand, which can be caused by an increase in the interest rate. This would shift the AD curve to the right, resulting in a higher output level (Y) and a higher price level (P). A decrease in nominal income (A), or an increase in the price level (B) or a decrease in the interest rate (C) would not cause this movement.

Refer to the Information Provided in Figure 25