If the Consumer Sentiment Index Turns Down Sharply Over a Period

Multiple Choice

If the consumer sentiment index turns down sharply over a period of several months, which of the following is most likely to occur in the near future?

A) an increase in aggregate demand and expansion in real output
B) a reduction in aggregate demand and a contraction in real output
C) a reduction in aggregate demand and expansion in real output
D) an increase in aggregate demand and a contraction in real output