If consumption increases in general:
A)the aggregate demand curve will shift straight down.
B)the aggregate demand curve will shift to the right.
C)the economy will move down along the aggregate demand curve to a higher quantity.
D)it will be cancelled out by business's reaction and the aggregate demand curve will be unaffected.

Question

Quizplus · Accepted Answer

If consumption increases in general, it means that people are spending more money on goods and services, which leads to an increase in demand. As a result, the aggregate demand curve will shift to the right.

If Consumption Increases in General