The AD slopes down due to the affect of the price level on consumption.
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Q22: An increase in taxes causes equilibrium output
Q23: An increase in autonomous consumption shifts AD
Q24: When the Fed increases the money supply,
Q25: A financial panic would cause _ to
Q26: Crowding out implies that an increase in
Q28: Equilibrium output will rise and the equilibrium
Q29: An increase in autonomous investment causes equilibrium
Q30: A decrease in government spending causes the
Q31: The IS-LM model predicts that policy makers
Q32: The natural rate level of output is
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