Question

From 2006 to 2008 there was a dramatic fall in the price of houses. If this fall made people feel less wealthy, then it would have shifted a. aggregate demand right. b. aggregate demand left. c. aggregate supply right. d. aggregate supply left.

Answer 1

b. aggregate demand left

Step-by-step explanation:

The aggregate demand is the total goods and services demanded by a country, a certain price level, in a given period of time.

The aggregate demand that can be accounted for measures exactly the same as GDP. So they are often used as synonyms.