If some non-price-level determinant causes total spending to increase,what will the effect on aggregate demand be?
A)a shift to the right
B)a movement upward along the curve
C)a shift to the left
D)a movement downward along the curve

Question

Quizplus · Accepted Answer

An increase in total spending would cause a shift to the right in the aggregate demand curve since the level of demand at every price level would increase. Non-price-level determinants such as changes in consumer confidence, government spending, or foreign demand can all influence total spending levels.

If Some Non-Price-Level Determinant Causes Total Spending to Increase,what Will