Aggregate demand ________ and shifts the AD curve ________ when ________.
A)increases;rightward;government expenditure increases
B)increases;rightward;taxes increase
C)increases;rightward;future expected profit decreases
D)decreases;leftward;foreign income increases
E)increases;leftward;government expenditure increases

Question

Quizplus · Accepted Answer

According to the Keynesian model, an increase in government expenditure will increase aggregate demand, shifting the AD curve rightward.

Aggregate Demand ________ and Shifts the AD Curve ________ When

Aggregate Demand and Shifts the AD Curve When