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When the Mexican government sets new environmental standards that require factories to upgrade their production facilities, investment in Mexico increases and Mexico's aggregate demand A
When the Mexican government sets new environmental standards that require factories to upgrade their
production facilities, investment in Mexico increases and Mexico's aggregate demand
A decreases because as more investment occurs, less consumption expenditure occurs
B is unchanged, but the price level falls and quantity of real GDP demanded increases
C is unchanged, but the price level rises and quantity of real GDP demanded decreases
D increases. The curve shifts rightward.
E increases and a movement occurs along the curve
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