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AP® Macroeconomics

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Net Exports and AD/AS

APMACR-@VFL1N

If imports decreased and exports increased, what effect would it have on the AD/AS model?

A

Net exports would increase and aggregate demand would shift to the right.

B

Net exports would increase and short-run aggregate supply would shift to the right.

C

Net exports would decrease and aggregate demand would shift to the left.

D

Net exports would increase and aggregate demand would shift to the left.

E

Net exports would decrease and short-run aggregate supply would shift to the right.