At the end of World War II, many European countries were rebuilding and so were eager to buy capital goods and had rising incomes. Where would we expect that the rebuilding increased aggregate demand?
A)in both Canada and Europe
B)in Canada, but not in Europe
C)in Europe, but not in Canada
D)in neither Canada nor Europe

Question

Quizplus · Accepted Answer

The rebuilding efforts in Europe increased demand for capital goods, which were often imported from countries like Canada, thus increasing aggregate demand in both regions.

At the End of World War II, Many European Countries