1.In 1930, the United States passed the Smoot-Hawley Tariff Act, which raised tariffs on imported goods an average of 60 percent. Other countries retaliated with similar tariffs and world output declined. The effect of the decline in foreign output on the U.S. Aggregate Demand curve can be shown by a movement from:

Price level A C AD1 ADO AD2 Real outputLAS SAS1 SASO Price level AD. AD. Real outputLAS SAS Price level A AD Real outputLAS P1 Price level PO ............. ..... Aggregate demand Real output