9. Which of the following will shift the aggregate demand curve to the right, ceteris paribus?A) an increase in interest ratesB) a decrease in disposable incomeC) a decrease in expected profits for firmsD) an increase in net exports10. If the U.S. dollar decreases in value relative to other currencies, how does this affect theaggregate demand curve?A) This will move the economy up along a stationary aggregate demand curve.B) This will move the economy down along a stationary aggregate demand curve.C) This will shift the aggregate demand curve to the left.D) This will shift the aggregate demand curve to the right

Demand curve is the downward sloping curve. Supply curve is the upward sloping curve. Aggregate…

9. Which of the following will shift the aggregate demand curve to the right, ceteris paribus? A) an increase in interest rates B) a decrease in disposable income C) a decrease in expected profits for firms D) an increase in net exports

9. Which of the following will shift the aggregate demand curve to the right, ceteris paribus? A) an increase in interest rates B) a decrease in disposable income C) a decrease in expected profits for firms D) an increase in net exports

Macroeconomics: Private and Public Choice (MindTap Course List)

16th Edition

ISBN:9781305506756

Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Chapter12: Fiscal Policy, Incentives, And Secondary Effects

Section: Chapter Questions

Problem 3CQ

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Question

9. Which of the following will shift the aggregate demand curve to the right, ceteris paribus?
A) an increase in interest rates
B) a decrease in disposable income
C) a decrease in expected profits for firms
D) an increase in net exports
10. If the U.S. dollar decreases in value relative to other currencies, how does this affect the
aggregate demand curve?
A) This will move the economy up along a stationary aggregate demand curve.
B) This will move the economy down along a stationary aggregate demand curve.
C) This will shift the aggregate demand curve to the left.
D) This will shift the aggregate demand curve to the right

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