As a result of several factors,aggregate demand decreased during the Great Depression.One factor was a(n)
A) increase in consumer sentiment.
B) increase in international trade.
C) decrease in business tax rates.
D) decrease in expected income.
E) increase in the money supply.

Question

Quizplus · Accepted Answer

A decrease in expected income leads to lower consumer spending and investment, causing a decrease in aggregate demand. The other options are not relevant to a decrease in aggregate demand during the Great Depression.

As a Result of Several Factors,aggregate Demand Decreased During the Great