A leftward shift of the aggregate demand (AD)curve could result from a fall in
A)autonomous government purchases.
B)induced imports.
C)the net tax rate.
D)autonomous desired saving.
E)the price level.

Question

Quizplus · Accepted Answer

A fall in autonomous government purchases would decrease the level of aggregate demand, shifting the AD curve leftward. The other options do not directly affect autonomous components of AD and therefore would not result in a leftward shift of the curve.

A Leftward Shift of the Aggregate Demand (AD)curve Could Result