Question: Describe whether the following changes cause AD to shift to the right, to the left or to not shift all. (Draw a diagram for each

Describe whether the following changes cause AD to shift to the right, to the left or to not shift all.

(Draw a diagram for each part.)

a.The price level increases,

b. Purchases of new homes decreases.

c. Imports decrease and Exports increase.

d. The stock market increases in value.

e. Peace breaks out! Government purchases of military equipment decreases.

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