22. Which of the following would cause the AD curve to shift to the right? O The government raises income taxes. Workers build expectations of higher inflation into their contracts. Firms become pessimistic about the O future growth of GDP, sales, and profits. O The Fed shifts to a more spending.

22. Which of the following would cause the AD curve to shift to the right? O The government raises income taxes. Workers build expectations of higher inflation into their contracts. Firms become pessimistic about the O future growth of GDP, sales, and profits. O The Fed shifts to a more spending.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter22: Aggregate Demand And Aggregate Supply

Section: Chapter Questions

Problem 8P

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Question:4,5
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uestion 28 ot yet swered arked out of 0 Flag estion In the Keynesian AE model, if the autonomous components of consumption, investment, government spending, and net export spending total $200 billion and the marginal propensity to spend is 0.8, under what circumstances will unplanned changes in inventory be zero? a. when output is $160 billion b. when output is $250 billion C. when output is $1000 billion d. when output is $1600 billion cross out cross out cross out cross out
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