Figure 8-2

-Refer to Figure 8-2.Which of the following would a shift in aggregate demand from AD₀ to AD₂ illustrate?
A)an increase in government purchases, combined with a decrease in investment
B)faster growth rates by a major trading partner, combined with an increase in stock market wealth
C)an increase in consumption, combined with an increase in exports
D)an increase in business tax rates, combined with a decrease in consumer confidence

Question

Figure 8-2
 
-Refer to Figure 8-2.Which of the following would a shift in aggregate demand from AD₀ to AD₂ illustrate?
A)an increase in government purchases, combined with a decrease in investment 
B)faster growth rates by a major trading partner, combined with an increase in stock market wealth 
C)an increase in consumption, combined with an increase in exports 
D)an increase in business tax rates, combined with a decrease in consumer confidence

Quizplus · Accepted Answer

The Answer of Figure 8-2
 
-Refer to Figure 8-2.Which of the following would a shift in aggregate demand from AD₀ to AD₂ illustrate?
A)an increase in government purchases, combined with a decrease in investment 
B)faster growth rates by a major trading partner, combined with an increase in stock market wealth 
C)an increase in consumption, combined with an increase in exports 
D)an increase in business tax rates, combined with a decrease in consumer confidence

Figure 8-2 -Refer to Figure 8-2.Which of the Following Would a Shift