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What effects would each of the following changes have on aggregate demand if other things equal? Explain why . ( 8 points ) Changes Change
What effects would each of the following changes have on aggregate demand if other things equal? Explain why. (8 points)
Changes | Change in Canadian AD (increase or decrease) | Explain why |
(a) Increase in expected return on investment | ||
(b) Decrease in consumer confidence | ||
(c) Decrease in the Canadian price level relative to other countries | ||
(d) If the national incomes of our major international trading partners (such as US) were to rise |
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