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A rise in the price level that leads to a change in the interest rate, and therefore to a change in the quantity of aggregate demand, will cause:
a. a downward movement along the aggregate demand curve.
b. no change in the quantity of aggregate demand.
c. a leftward shift of the aggregate demand curve.
d. an upward movement along the aggregate demand curve.
e. a rightward shift of the aggregate demand curve.
q. 1. why a favorable shock to the production function tends to reduce the price level p. how could the monetary
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