A weak dollar will net exports and shift the AD curve to the. increase; right, d

Question

A weak dollar will net exports and shift the AD curve to the. increase; right, decrease; left, increase; left decrease; right. A decrease in the price level will increase the interest rate and involve a downward movement along the aggregate demand curve, decrease the interest rate and involve a downward movement along the aggregate demand curve, increase the interest rate and involve an upward movement along the aggregate demand curve, decrease the interest rate and involve an upward movement along the aggregate demand curve, not affect the interest rate and will involve a downward movement along the aggregate demand curve. not affect the interest rate and will involve an upward movement along the aggregate demand curve A technological advance in the economy will lead to price level, output an rate of unemployment a higher; a higher; a lower a lower; a higher; a lower a higher; a higher; no change in

Explanation / Answer

27. not affect the interest rate and will involve a downward movement along the aggregate demand curve.

Decrease or increase in price does not change the interest rate while rise and fall of interest rate affects the price level. When due to monetary expansion, LM curve shifts rightwards then interest rate decreases and output increases. Increase in output decreases the price level in the economy.

28. a lower, a higher, a lower

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