Which of the following variables is capable of continually increasing aggregate demand with no offsetting influence on any of the components of total spending?

Question

Quizplus · Accepted Answer

The money supply is capable of continually increasing aggregate demand with no offsetting influence on any of the components of total spending. As the money supply increases, people and firms have more money to spend or invest, leading to an increase in consumption and investment spending. This increase in spending translates into higher aggregate demand in the economy.

Which of the Following Variables Is Capable of Continually Increasing