In the short run,lowering the cash rate shifts the aggregate demand curve ________ so that real GDP ________ and the price level ________.

Name: In the short run,lowering the cash rate shifts the aggregate demand curve ________ so that real GDP ________ and the price level ________.
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Question

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Lowering the cash rate reduces borrowing costs, encouraging spending and investment, which increases aggregate demand, leading to higher real GDP and a higher price level.

In the Short Run,lowering the Cash Rate Shifts the Aggregate