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The Aggregate Demand Curve Slopes Downward Because

Question 26

Multiple Choice

The aggregate demand curve slopes downward because


A) a decrease in the price level decreases the real value of household wealth
B) a decrease in the domestic price level increases imports
C) an increase in the price level leads to a decrease in demand for money,which decreases interest rates
D) a decrease in the domestic price level increases exports
E) none of the above

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