A shift in the aggregate demand (ADI)curve would be caused by a change in
A) the quantity of real output demanded.
B) a determinant of aggregate demand.
C) the price level.
D) aggregate supply.
E) the inflation ratE.

Question

Quizplus · Accepted Answer

A shift in the ADI curve is caused by a change in a determinant of aggregate demand, such as consumer spending, government spending, investment, exports, or imports. Changes in these determinants affect the demand for goods and services in the economy and shift the ADI curve accordingly. Changes in the quantity of real output demanded, the price level, aggregate supply, or the inflation rate may affect the position on the ADI curve, but they do not cause a shift in the curve itself.

A Shift in the Aggregate Demand (ADI)curve Would Be Caused