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Refer to Figure 18

Question 113

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  Refer to Figure 18.1.Which of the following would most likely cause a shift from AD<sub>1</sub> to AD<sub>2</sub>? A) An increase in transfer payments because of a recession. B) An increase in the tax rate. C) A decrease in the money supply through open market operations. D) A decrease in government spending. Refer to Figure 18.1.Which of the following would most likely cause a shift from AD1 to AD2?


A) An increase in transfer payments because of a recession.
B) An increase in the tax rate.
C) A decrease in the money supply through open market operations.
D) A decrease in government spending.

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