Author Question: Refer to the information provided in Figure 27.1 below to answer the question(s) that follow.Refer ... (Read 13 times)

jCorn1234 · **on:** Apr 19, 2019

Question 1

Aggregate demand increases if

◦ the government decreases spending.
◦ the Fed sells government bonds.
◦ the government decreases taxes.
◦ the Fed increases the required reserve ratio.

Question 2

Refer to the information provided in Figure 27.1 below to answer the question(s) that follow.

Refer to Figure 27.1. An aggregate demand shift from
AD
² to
AD
⁰ can be caused by

◦ a decrease in the price level.
◦ an increase in the price level.
◦ a decrease in taxes.
◦ a decrease in money supply.

pratush dev · **Reply #1 on:** Apr 19, 2019

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