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GenaCL600 [577]
3 years ago
5

Which of the following will result in a rightward shift of the aggregate demand curve? An increase in the income tax rate An inc

rease in the income tax rate A An increase in exports An increase in exports B A decrease in the price level A decrease in the price level C A decrease in household income A decrease in household income D A decrease in government spending
Business
2 answers:
kykrilka [37]3 years ago
8 0

Answer:

B. A decrease in the price level

Explanation:

Hope this helps

jarptica [38.1K]3 years ago
3 0

Answer:

<u>B. A decrease in the price level</u>

Explanation:

Remember, the term aggregate demand generally refers to the total demand for finished goods and services produced in an economy.

Hence, among all the above-listed scenarios, we should be looking for<em> </em><em>a scenario or factor that influences demand. </em>Price is one of the main factors that influence demand.

Thus, we would agree that in most economies a decrease in the price level could result in a rightward (positive increase) shift of the aggregate demand curve.

For example, assuming the price of gas in the country decreases; holding all other factors constant, people would naturally want to buy more gas at cheap prices.

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A decrease in the price of domestically produced industrial robots will be reflected in the GDP deflator but not in the consumer price index.

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<h3>What is monetary policy and fiscal policy?</h3>

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