4. Determinants of aggregate demand

The graph below is associated with a hypothetical country. Consider a decrease in aggregate demand (AD). Specifically, aggregate demand shifts to the left from AD1AD1to AD2AD2, causing the quantity of output demanded to fall at each price level. For instance, at a price level of 140, output is now $200 billion, where initially it was $300 billion.

010020030040050060070080017016015014013012011010090PRICE LEVELOUTPUT (Billions of dollars)AD1AD2

The following table lists several determinants of aggregate demand.

Fill in the missing values in the table by selecting the change in each scenario required to decrease aggregate demand.

	Change Required to Decrease AD
Interest rates
Domestic currency value relative to the foreign currency
Consumer expectations about future profitability
Government spending