(Figure: Shifts in Aggregate Demand) Starting at Equilibrium Point B

Multiple Choice

(Figure: Shifts in Aggregate Demand) Starting at equilibrium point b, if imports increase or consumer demand decreases, the demand curve will shift to _____, thus _____ the price level and _____ real output.

A) AD₁; increasing; decreasing
B) AD₂; decreasing; decreasing
C) AD₁; increasing; increasing
D) AD₂; increasing; decreasing