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    Principles of Macroeconomics Study Set 8
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    Exam 21: The Influences of Monetary and Fiscal Policy on Aggregate Demand: How Monetary Policy Influences Aggregate Demand
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For the US

Question 144

Question 144

Multiple Choice

For the U.S.economy,which of the following is the most important reason for the downward slope of the aggregate-demand curve?


A) the wealth effect
B) the interest-rate effect
C) the exchange-rate effect
D) the real-wage effect

Correct Answer:

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