If the government were to increase spending, aggregate _______ would shift to the _______.
A) demand; right
B) demand; left
C) supply; right
D) supply; left

Question

Quizplus · Accepted Answer

When the government increases spending, it injects more money into the economy, leading people to have more money to spend. This results in an increase in aggregate demand, which shifts the demand curve to the right.

If the Government Were to Increase Spending, Aggregate _______ Would