Question 3 (5 points)
if people save more and spend less, the aggregate demand curve shifts to the
right.
true
false

True

Explanation:

The saving rate is rate; the expenses go low as the curves shift to the right. There are various ways that investment falls. If the loan cost rises, state due to contractionary money related or financial approach, speculation will fall. Thus, in the short run, the expansionary monetary arrangement will likewise make investment fall as swarming out happens. Another fascinating reason for a fall with regards to speculation is an exogenous decline in venture spending. This occurs when firms choose to contribute less without respect for the loan cost.

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