A change in creates a movement along the aggregate demand curve, while a change in
Shifts the aggregate demand curve.
A) the price level; government expenditures
B) foreign income; the foreign exchange rate
C) expected profits; tax rates
D) real wealth; human capital

Question

Quizplus · Accepted Answer

A change in the price level creates a movement along the aggregate demand curve, while a change in government expenditures shifts the aggregate demand curve.

A Change in Creates a Movement Along the Aggregate Demand