The new government of Pakistan transfers money from the rich to the poor. This will likely:

Question

Quizplus · Accepted Answer

Transferring money from the rich to the poor typically increases overall consumption because the poor are more likely to spend a higher proportion of their income. This increase in consumption can shift the Aggregate Demand (AD) curve to the right, indicating a higher demand for goods and services at every price level.

The New Government of Pakistan Transfers Money from the Rich