Other things the same,an increase in the amount of capital firms wish to purchase would initially shift
A)aggregate demand right.
B)aggregate demand left.
C)aggregate supply right.
D)aggregate supply left.

Question

Quizplus · Accepted Answer

An increase in the amount of capital firms wish to purchase would increase investment, which is a component of aggregate demand. Therefore, it would initially shift aggregate demand to the right.

Other Things the Same,an Increase in the Amount of Capital