Which of the following would most likely shift aggregate demand curve from AD1 to AD2?
An increase in stock prices that increases consumer wealth.
A reduction in household borrowing because of high interest rates.
An increase in personal income tax rates,
b. Increased fear that a recession will cause workers to lose their jobs.
Which of the following would most likely shift aggregate demand curve from AD1 to AD2?
2. Figure: Shift of the Aggregate Demand Curve Refer to Figure: Shift of the Aggregate Demand Curve. A movement from AD1 to AD2 may have been the result of: increases in personal income taxes. a decrease in government spending. a decrease in consumer wealth. an increase in government spending.
QUESTION 23 Ceteris paribus , which of the following would cause the aggregate demand curve to shift to the right? a reduced stock market wealth b. a reduction in transfer payments c. a rise in consumer confidence d. higher personal taxes QUESTION 24 Ceteris paribus , which of the following would cause the aggregate demand curve to shift to the right? a reduced stock market wealth b. a reduction in transfer payments c. a rise in consumer confidence d. higher...
Figure AS-AD.1 AD2 AD1 AD3 Real Domestic Output, GDP 13) In Figure AS.AD.1, what combination would most likely cause a shift from ADI to AD2? A) A decrease in taxes and an increase in government purchases B) An increase in taxes and an increase in government purchases 14) Other things being equal, the effects of an increase in the price of orange juice would best be represented by a(n): A) upward movement along the demand curve for orange juice. B)...
If the aggregate demand in the economy depicted below is AD2, ceteris paribus, what is likely to happen in this economy in the long run (without any government intervention)? Price level LRAS SRAS P3 AD3 AD1 2 AD2 2 Y Y Real GDP O The SRAS curve will shift to the right. Nominal wages will decrease. Nominal wages will increase. Both the nominal wages will decrease and the SRAS curve will shift to the right. O The SRAS curve will...
Which would most likely shift the aggregate supply curve? A change in the prices of _____. domestic products foreign products financial assets resources A decrease in aggregate demand in the short run will reduce _____. both real output and the price level the price level and increase the real domestic output the real domestic output and have no effect on the price level the price level and have no effect on real domestic output The economy's long-run AS curve assumes...
a. Which of the following events would likely cause the decrease in aggregate demand? Personal consumption falls as workers become concerned about future employment prospects. Imports decrease due to increased foreign prices. Gross investment increases as capital units become fully utilized. b. A decrease in aggregate demand is of policy concern due to the increase in the: unemployment rate. productivity of workers. price level. c. Which policy action should the federal government enact? Increase personal income tax rates Decrease real...
46 a)Which of the following factors will cause the aggregate demand curve to shift to the right? A.reduction in the aggregate price level B.decrease in foreign income C.reduction in personal income taxes D.increase in interest rates b)Which of the following will NOT shift the aggregate supply curve to the right? A.a decrease in corporate taxes B.the discovery of cheap solar energy C.an increase in the minimum wage D.the development in the methods of production of nanotechnology PreviousNext
Which of the following would most likely cause an upward shift in a firm's cost curve? a. a technological advance b. an increase in resource prices c. a decrease in demand for the firm's product d. a decline in consumer income
Which of the following would cause the aggregate demand curve to shift to the right? Group of answer choices an appreciation of the American dollar an increase in real interest rates a decrease in the money supply an increase in purchases by the federal government
QUESTION 1 Price level AS P1 P2 AD1 AD2 Y2 Y1 Real national output Which of the following would cause the shift in the AD curve (from ADto AD2) shown in the diagram above? A. The government increases interest rates B. The rate if income tax is reduced CA depreciation of the US dollar An improvement in technology QUESTION 2 Which combination of fiscal policies would be the most expansionary? A. an increase in government spending and an increase in...