MeloWuzzHere8731 MeloWuzzHere8731
  • 03-01-2020
  • Business
contestada

When AS is greater than AD, savings will be greater than investment and economic activity will _________..

Respuesta :

BenitoMarin BenitoMarin
  • 04-01-2020

Answer:

The correct answer is: decrease.

Explanation:

If Aggregate Supply (AS) is higher than Aggregate Demand (AD), it implies somehow consumers are keeping their income with them. Economic activity will contract as a result but to promote consumption, for instance, banks lower their interest rates on loans with the confidence that consumers will have enough money to cover their debts.

Answer Link

Otras preguntas

Broooo math is so hard. ??? Help
please help me (URGENT) 20 points if answer all categorys
A box contains 20 DVDs, 4 of which are defective If two DVDs are selected at random (with replacement) from this box, what is the probability that
What should Americans be allowed to do during a time of war? Give your opinion – check any of the following actions that you think are appropriate. suggesting t
What is the Law of Conservation of Charge?
plase help need it now!!!!
ill give u brainliest! if u give a lazy answer cuz u want the points ill report u can someone tell me what im doing wrong? my spanish teacher said - You need to
which statement best describes a citizen a. legally recognized member of a country b. resident of a country c. resident who contributes to their community d.
please help on this one?
An authors blank is his or her reason for writing a text