Figure 16-1
-Refer to Figure 16-1. In a closed economy, what would cause the aggregate demand curve to shift from AD to AD*?
A) an increase in government purchases
B) a decrease in stock prices
C) an increase in consumer and firm optimism about the future
D) an increase in the price level

Question

Figure 16-1 
-Refer to Figure 16-1. In a closed economy, what would cause the aggregate demand curve to shift from AD to AD*?
A) an increase in government purchases 
B) a decrease in stock prices 
C) an increase in consumer and firm optimism about the future 
D) an increase in the price level

Quizplus · Accepted Answer

The Answer of Figure 16-1 
-Refer to Figure 16-1. In a closed economy, what would cause the aggregate demand curve to shift from AD to AD*?
A) an increase in government purchases 
B) a decrease in stock prices 
C) an increase in consumer and firm optimism about the future 
D) an increase in the price level

Figure 16-1 -Refer to Figure 16-1. in a Closed Economy, What Would