True or false and explain. "The AD schedule slopes downward because real income rises as the price level declines and everybody buys more as their real income rises."© BrainMass Inc. brainmass.com October 25, 2018, 1:13 am ad1c9bdddf
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The nominal ...
The nominal value of money is demonstrated.
Nominal money supply and changes in price levels affect the aggregate demand curve in different ways.
A change in the real money supply can result either from a change in the nominal money supply through Federal Reserve policy (holding the price level constant) or from a change in the price level (holding the nominal money supply constant). The change in the nominal money supply causes a shift in the aggregate demand curve, whereas a change in the price level causes a movement along the aggregate demand curve. Explain.View Full Posting Details