Table :

TABLE 13.2 Some Factors That Shift the Aggregate Demand Curve

Positive Shocks (Increase AD) (= Higher Growth Rate of Spending)

Negative Shocks (Decrease AD) (= Lower Growth Rate of Spending)

A faster money growth rate

A slower money growth rate

Confidence

Fear

Increased wealth

Reduced wealth

Lower taxes

Higher taxes

Greater growth of government spending

Lower growth of government spending

Increased export growth

Decreased export growth

Decreased import growth

Increased import growth