Which of the following events shifts the aggregate-demand curve leftward?

a. A decrease in government expenditures, but not a change in the price level.
b. An increase in government expenditures or a decrease in the price level

c. A decrease in government expenditures or an increase in the price level.

d. An increase in the price level, but not a decrease in government expenditures.

 

ANSWER:

a. A decrease in government expenditures, but not a change in the price level.