Author Question: The AD curve will shift to the right if: a. people become pessimistic about the future of the ... (Read 301 times)

cherise1989 · **on:** Jun 30, 2018

The AD curve will shift to the right if:
a. people become pessimistic about the future of the economy.
b. there is a decrease in foreign income.
c. the government decreases spending.
d. the domestic price level decreases.
e. the foreign price level increases.

Question 2

An economic hypothesis:
a. can be tested using empirical analysis.
b. can be tested using normative analysis.
c. cannot be tested since it is normative in nature.
d. cannot be tested since it is a positive economic statement.