Question

With an expansionary monetary policy, investment, consumption, and net exports all ________, which results in the aggregate demand curve shifting to the ________, increasing real GDP and the price level.
A. decrease; right
B. increase; left
C. decrease; left
D. increase; right

Answer 1

Answer:

D - Increase; Right

Explanation:

You can think of it as the money "Expanding", or "Increasing".

You can also think about it on a number line of sorts, positive numbers on the right, negative on the left.

So with increasing money, it would shift to the right.