If the availability of credit increases,then
A)There will be a movement to the left along the AD curve.
B)There will be a movement to the right along the AD curve.
C)The AD curve will shift to the left.
D)The AD curve will shift to the right.

Question

Quizplus · Accepted Answer

An increase in the availability of credit will encourage people to spend more, leading to an increase in consumption and investment spending. This will lead to a rightward shift of the AD (Aggregate Demand) curve, indicating an increase in output and price level.

If the Availability of Credit Increases,then