Which of the following will cause a decrease in aggregate demand?
Increase in government spending
Decrease in discount rate
increase in taxes
the Fed buying government securities from the public
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...
Which of the following events would cause an increase in aggregate demand? A. a decrease in consumption B. an increase in taxes C. a decrease in the price level D. a decrease in taxes
just answers Which of the following changes may cause an increase in autonomous 13. investment? negative business expectations about future profitability A an increase in business taxes B an increase in interest rates C new and improved technology A suitable monetary policy response to insufficient aggregate demand in an economy would be to: 18. ease monetary policy by selling government securities expand government spending tighten monetary policy by selling securities ease monetary policy by buying govemment securities A D
Which of the following policies would be appropriate following a decrease in aggregate demand that pushes the economy into recession? Select one: A. A decrease in money supply growth B. A decrease in taxes C. A decrease in government spending growth D. All of the above are correct.
(1) Other things being equal, which of the following will increase aggregate expenditures? Group of answer choices An increase in domestic prices relative to foreign prices A decrease in the interest rate A decrease in real wealth An increase in income taxes A decrease in government purchases of goods and services (2) If the current unemployment rate is 5 percent and the natural unemployment rate is 6 percent, then the economy is Group of answer choices producing a level of...
In the basic aggregate demand and aggregate supply model, which of the following would cause deflation? An increase in A. government purchases B. oil prices C. the expected future price level D. income taxes
Question 1 Which of the following will increase aggregate demand? [select all that apply] An increase in expected inflation A decrease in government spending An increase in the money supply An decrease in the exchange rate of domestic and foreign currency A decrease in taxes A decrease in expected profits Question 2 If potential GDP increases we will see: SRAS move right LRAS move right SRAS move left LRAS move left OSRAS and LRAS move right SRAS and LRAS move left
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 6 An increase in aggregate demand (AD) can cause an increase in cyclical unemployment. a recession in the economy. an expansion in the economy. Question 9 Which of the following would cause a negative demand shock (shift to the left) in aggregate demand? decreased availability of business capital increased government spending production costs falling Question 10For aggregate demand and aggregate supply to be an economic model, the equilibrium aggregate price level and equilibrium aggregate real GDP should only consider long run curves. be considered in individual markets. intersect.
Suppose a decrease in aggregate demand shifts the economy from equilibrium to P4 and Y1. LRAS Price Level AD Y Y* Real GDP 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. Gross Investment Increases as capital units become fully utilized. Imports decrease due to Increased foreign prices b. A decrease in aggregate demand is of policy concern due to the increase in the...