In the early 1930s, U.S. government expenditures increased as part of the New Deal without any change in taxes. This:
A)shifted the AD curve to the left.
B)shifted the AD curve to the right.
C)made the AD curve flatter.
D)made the AD curve steeper.

Question

Quizplus · Accepted Answer

The New Deal involved increased government spending to stimulate economic activity during the Great Depression, which would shift the Aggregate Demand (AD) curve to the right as more spending increases overall demand in the economy.

In the Early 1930s, U