Which of the following is not typically given as a reason the aggregate demand curve slopes downward and to the right?

Question

Quizplus · Accepted Answer

The substitution effect typically refers to how consumers will substitute between different goods depending on price levels, and is not typically given as a reason for the slope of the aggregate demand curve. The other three effects - the real balances effect, the foreign purchases effect, and the interest rate effect - are all commonly cited as reasons for the downward slope of the aggregate demand curve.

Which of the Following Is Not Typically Given as a Reason