Demand curve will shift towards right due to <u>a decrease in U.S. real interest rate</u>
With the decrease in the interest people will sell bonds and get money, as a result money supply will increases and it leads to more demand for goods and services.
It means <u>a decrease in U.S. real interest rate</u> causes rightward shift of AD curve.
Demand is an monetary concept that pertains to a purchaser's preference to purchase items and offerings and willingness to pay a particular rate for them. An growth within the rate of an awesome or service has a tendency to decrease the quantity demanded.
Demand may be defined as the quantity of a commodity that a client is in a position and willing to shop for, at each viable fee, over a given time period. Essential elements of call for are quantity, ability, willingness, fees, and period of time.
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