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Macroeconomics Answer all 5 questions QUESTION 21 Figure 8.6 Refer to Figure 8.6 , which of the diagrams most likely illustrates the effect of the following event? Aggregate Supply Aggregale Supply Aggregate Demand Aggregate Demand (leftward) (rightward) (leftward) (rightward) Price Level Price Love! Price Love! Price Love! Real Output Real Output Real Output cal Output (A) (B) The US exports increase sharply. O A. A. O B. B. Occ O D. D. QUESTION 22 Which of the following will cause an increase in gross exports? OA An increase in foreign consumer income. A decrease in foreign business investment. OB An increase in U.S. consumer income. OC All of the above. OD. QUESTION 23 Figure 8.5 PRICE LEVEL In Figure 8.5, if this economy's inflation goal is a price level of P2 but the equilibrium price level is P3, an appropriate policy lever would be to: O A. Decrease AD by decreasing income taxes. O B. Decrease AS by decreasing the money supply. O C. Decrease AD by reducing transfer payments. Increase AD by lowering interest rates. 24. Refer to Figure 8.6 , which of the diagrams most likely illustrates the effect of the following event? Aggregate Supply (leftward) Aggiegale Supply Aggregate Demand Aggregate Demand (nightward) (leftward) (rightward) Price Love! Price Level Price Level Price Level Real Output Real Output Real Output Real Output (A) (B) (c) Long-term education p education programs have resulted in an increased number of skilled workers. OAA OB. B. OC.C. D. D. QUESTION 25 Which of the following will cause the aggregate demand curve to shift to the left? O A. A decrease in consumer and business confidence because of a terrorist attack. O B. A decrease in the interest rate O C. A decrease in business taxes. An improvement in technology. OD