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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 _______.

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. increases. The AD curve shifts rightward. C. increases and a movement occurs along the AD curve D. is unchanged, but the price level falls and quantity of real GDP demanded increases E. is unchanged, but the price level rises and quantity of real GDP demanded decreases

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