Which of the following does NOT shift the aggregate demand curve?
A) an increase in investment
B) a decrease in taxes
C) a decrease in the quantity of money
D) an increase in the price level

Question

Quizplus · Accepted Answer

An increase in the price level would cause a movement along the aggregate demand curve, but it would not shift the curve itself. The other options would shift the curve. An increase in investment would shift the curve to the right, a decrease in taxes would also shift the curve to the right, and a decrease in the quantity of money would shift the curve to the left.

Which of the Following Does NOT Shift the Aggregate Demand