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There was a severe decline in stock prices. The crash in stock market in 1929 led to a steep fall in the wealth of the people and AD shifted to the left.
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Question 51 During the Great Depression, the U.S. aggregate demand curve shifted to the left, in...
Which of the following shifts aggregate demand to the left?
Which of the following shifts aggregate demand to the left? a. Interest rates fall. b. Stock prices fall for some reason other than a change in the price level. c. The dollar depreciates for some reason other than a change in the price level. d. The price level rises. Which of the following shifts aggregate demand right? a. both a decrease in the price level and the implementation of an investment tax credit b. a decrease in the price level but not the implementation of an investment...
When the government pursued a “tight money” policy during the Great Depression, it caused aggregate demand...
When the government pursued a “tight money” policy during the Great Depression, it caused aggregate demand to decrease because it: Choose one: A. reduced consumer spending and investment spending. B. caused tax rates to decrease. C. led to very high rates of inflation, which eroded household spending. D. caused a rapid decline in exports to other countries. E. led to an increase in stock prices and household wealth.
During the Great Recession, U.S. household wealth declined, leading to a decrease in aggregate demand. Which...
During the Great Recession, U.S. household wealth declined,
leading to a decrease in aggregate demand. Which pair of factors
contributed to this decline in wealth?
Choose one
:A. a financial market crisis and an increase in gas prices
B. an increase in tax rates and a decrease in stock prices
C. a decrease in stock prices and a decrease in housing
prices
D. a decrease in housing prices and a decline in the level of
technology
E. a decrease in...
Question 19 1 pts When a change in the price level leads to a change in the interest rate and thus a change in th...
Question 19 1 pts When a change in the price level leads to a change in the interest rate and thus a change in the quantity of aggregate demand, it is called theeffect. savings interest rate O price wealth o output 4 Previous Next Question 21 1 pts The Great Depression lasted longer and was deeper than the average recession, in part, because the government reduced tax rates and increased spending. the government reduced barriers to trade. there was a...
QUESTION 23 Which of the following shifts aggregate demand to the left? a. The price level...
QUESTION 23 Which of the following shifts aggregate demand to the left? a. The price level falls. b. The dollar depreciates for some reason other than a change in the price level. c. Stock prices fall for some reason other than a change in the price level. d. The price level rises. QUESTION 24 Aggregate demand shifts left when the government a. decreases taxes. b. cuts military expenditures. c. creates a new investment tax credit d. None of the above...
An increase in the price level will A) shift the aggregate demand curve to the left.
7) An increase in the price level will A) shift the aggregate demand curve to the left. B) shift the aggregate demand curve to the right. C) move the economy up along the aggregate demand curve. D) move the economy down along the aggregate demand curve. 8) Expansionary monetary policy involves A) reducing money supply and lowering taxes B) increasing money supply to decrease interest rate C) increasing government spending and cutting money supply D) increasing the interest rate and increasing taxes 9) Long-run macroeconomic equilibrium occurs when A) aggregate demand...
Which of the following would shift the aggregate demand curve to the left?
Which of the following would shift the aggregate demand curve to the left? Increase in government purchases, money supply or gross private investment Decreases in government purchases, decreases in money supply, increases in taxes Increases in taxes, increases in government purchases, decreases in money supply Decreases in taxes, government purchases or money supply
The U.S. aggregate demand curve would shift to the left if A. there was a tax...
The U.S. aggregate demand curve would shift to the left if A. there was a tax decrease. B. the economic conditions in Europe improved. C. the Federal Reserve Board caused the real interest rate to increase. D. the foreign exchange rate of the dollar decreased.
1. Which of the following is not a property of the aggregate demand curve? It shows...
1. Which of the following is not a property of the aggregate demand curve? It shows the relationship between the overall price level and level consumption. It shows the price level on the vertical axis and output on the horizontal axis. The aggregate demand curve slopes downward. It shows the relationship between the overall price level and the level of total demand. 2. When the price level increases people: feel more wealthy. have the same real value of assets, regardless...
During a recession consumption falls, causing the aggregate demand curve to shift to the ________. In...
During a recession consumption falls, causing the aggregate demand curve to shift to the ________. In response, the government can increase government spending to shift the ________. a. left; aggregate demand (AD) curve to the right b. left; short-run aggregate supply (SRAS) curve to the right c. right; aggregate demand (AD) curve to the left d. right; short-run aggregate supply (SRAS) curve to the right e. left; long-run aggregate supply (LRAS) curve to the right
During the Great Recession, U.S. household wealth declined,
leading to a decrease in aggregate demand. Which pair of factors
contributed to this decline in wealth?
Choose one
:A. a financial market crisis and an increase in gas prices
B. an increase in tax rates and a decrease in stock prices
C. a decrease in stock prices and a decrease in housing
prices
D. a decrease in housing prices and a decline in the level of
technology
E. a decrease in...
Question 19 1 pts When a change in the price level leads to a change in the interest rate and thus a change in the quantity of aggregate demand, it is called theeffect. savings interest rate O price wealth o output 4 Previous Next Question 21 1 pts The Great Depression lasted longer and was deeper than the average recession, in part, because the government reduced tax rates and increased spending. the government reduced barriers to trade. there was a...
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