1. If personal income increases,

A.aggregate demand will increase and shift left.

B.aggregate demand will decrease and shift left.

C.aggregate demand will increase and shift right.

D.aggregate demand will decrease and shift right.

E.there will be a movement along the aggregate demand curve.

2.If consumer confidence decreases then aggregate demand will

A.increase and output and price level will increase as well.

B.decrease and output and price level will decrease as well.

C.increase and output will increase but price level will decrease.

D.increase and output will decrease but price level will increase.

E.decrease and output will decrease but price level will increase.

Question 3:

3.

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