Refer to the following figure when answering the following questions.
Figure 13.1: AD Curve
-Consider Figure 13.1. Holding inflation constant, if there is a negative aggregate demand shock, the economy would move from point e to point:
A) g.
B) c.
C) d.
D) b.
E) a.

Question

Refer to the following figure when answering the following questions.
Figure 13.1: AD Curve 
-Consider Figure 13.1. Holding inflation constant, if there is a negative aggregate demand shock, the economy would move from point e to point:
A) g. 
B) c. 
C) d. 
D) b. 
E) a.

Quizplus · Accepted Answer

A negative aggregate demand shock shifts the AD curve to the left, causing the economy to move from point e to point a.

Refer to the Following Figure When Answering the Following Questions