Question
Will the following factors influence aggregate supply and/or aggregate demand? That is, would AS shift, AD shift, both will shift or neither will shift. Please
Will the following factors influence aggregate supply and/or aggregate demand? That is, would AS shift, AD shift, both will shift or neither will shift.Please indicate whether the shift is an increase or decrease. (Hint: most of the responses will involve a shift of one curve).
(a). increased fear of a recession
b).a reduction in interest rates at each price level
c). an increase in the world price of oil
d). a higher price level
e). a major increase in Federal spending for health care
f). a 10 percent reduction in personal income tax rates
g). depreciation in the international value of the dollar
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