"When aggregate demand increases," A. the price level is likely to fall as GDP rises. B. aggregate supply will shift to the rig

Question

lubasha [3.4K]

2 years ago

8

"When aggregate demand increases," A. the price level is likely to fall as GDP rises. B. aggregate supply will shift to the rig

ht. C. aggregate supply will shift to the left. D. the price level is likely to rise as GDP rises.

Business

1 answer:

stira [4] · Answer 1 · 2022-09-01T08:34:19+03:00

Answer:

D. the price level is likely to rise as GDP rises.

Explanation:

The aggregate demand measures all the goods produced in an economy at a given price in a particular period.

When the aggregate demand increases, the aggregate demand curve shifts to the right. When aggregate demand increases, aggregate demand exceeds aggregate supply and aggregate price and output would increase.

"When aggregate demand​ increases," A. the price level is likely to fall as GDP rises. B. aggregate supply will shift to the rig

"When aggregate demand increases," A. the price level is likely to fall as GDP rises. B. aggregate supply will shift to the rig