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What Do the Wealth and Foreign Trade Effects Have in Common

Question 2

Multiple Choice

What do the wealth and foreign trade effects have in common? They both help to explain:


A) why the aggregate demand curve is downward-sloping
B) why the aggregate supply curve is upward-sloping
C) shifts in the aggregate demand curve
D) shifts in the aggregate supply curve
E) why the aggregate supply curve is downward-sloping

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