Explain whether each of the following will cause a shift of the AD curve or a movement

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Explain whether each of the following will cause a shift of the AD curve or a movement along the AD curve.
a. Firms become more optimistic and increase their spending on machinery and equipment.
b. The federal government increases taxes in an attempt to reduce a budget deficit.
c. The U.S. economy experiences 4 percent inflation.
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Economics

ISBN: 978-0134106243

6th edition

Authors: R. Glenn Hubbard

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