Suppose the economy is at a point below its institutional production possibilities frontier. To improve this situation, Keynesian economists might propose that the government should expenditures, which will cause the aggregate demand curve to shift to the in an attempt to close this gap.
A. decrease; left; inflationary
B.increase; right; inflationary
C. decrease; right; inflationary
D. increase; right; recessionary
E. decrease; left; recessionary
