Which of the following events will NOT cause a rightward shift of the aggregate demand curve?
A) Consumers expect an economic contraction will soon occur.
B) A decrease in interest rates leads to an increase in investment.
C) The dollar depreciates.
D) The government decides to spend more money on goods.

Question

Quizplus · Accepted Answer

When consumers expect an economic contraction, they are likely to reduce spending, which would not cause a rightward shift in the aggregate demand curve.

Which of the Following Events Will NOT Cause a Rightward