Recession in the UK will cause
A) an upward movement along the UK aggregate demand curve.
B) a downward movement along the UK aggregate demand curve.
C) the UK aggregate supply curve to shift to the right.
D) the UK aggregate demand curve to shift to the left.

Question

Quizplus · Accepted Answer

During a recession, consumers and businesses tend to spend less, causing a decrease in aggregate demand. This will shift the UK aggregate demand curve to the left.

Recession in the UK Will Cause