According to the classical model,changes in aggregate demand are driven by

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According to the classical model, changes in aggregate demand are driven by shifts in the demand curve, which may be caused by changes in factors such as consumer and business confidence, government spending, and changes in foreign trade. When the demand curve shifts to the left, it results in a decrease in aggregate demand, leading to an increase in the price level. Therefore, option D stating that a shift to the left in the demand curve increases the price level is the most appropriate choice. Choices A, B, and C may be factors that contribute to shifts in the demand curve but are not themselves considered drivers of changes in aggregate demand according to the classical model.

According to the Classical Model,changes in Aggregate Demand Are Driven