The collapse of home values in 2008 led to a(n) _____ in Americans' saving rates, shifting aggregate demand to the _____.
A) decrease; left
B) decrease; right
C) increase; left
D) increase; right

Question

Quizplus · Accepted Answer

The collapse of home values in 2008 led to an increase in Americans' saving rates as people became more cautious with their money, which in turn reduced spending and shifted aggregate demand to the left.

The Collapse of Home Values in 2008 Led to A(n)