Use the following figure to answer the questions : Figure9.5:

-A movement from Point A to Point B in Figure 9.5 would result in
A)A decrease in aggregate demand.
B)A decrease in both aggregate demand and aggregate supply.
C)An increase in aggregate demand.
D)An increase in aggregate demand and a decrease in aggregate supply.

Question

Use the following figure to answer the questions : Figure9.5:
 
-A movement from Point A to Point B in Figure 9.5 would result in
A)A decrease in aggregate demand. 
B)A decrease in both aggregate demand and aggregate supply. 
C)An increase in aggregate demand. 
D)An increase in aggregate demand and a decrease in aggregate supply.

Quizplus · Accepted Answer

Movement from Point A to Point B represents an increase in consumer spending or investment, leading to an increase in aggregate demand.

Use the Following Figure to Answer the Questions : Figure9