Multiple Choice
Which statement best characterizes why an aggregate demand curve slopes downward?
A) because a decrease in the price level decreases the real value of household wealth
B) because a decrease in the domestic price level increases imports
C) because an increase in the price level leads to a decrease in demand for money, which decreases interest rates
D) because a decrease in the domestic price level increases exports
Correct Answer:

Verified
Correct Answer:
Verified
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