A decrease in expected returns on investment will most likely shift the AD curve to the:

If government expenditure on goods and services increase by $10 billion, then aggregate demand

A) increases by $10 billion. B) increases by $10 billion multiplied by the government expenditure multiplier. C) decreases by $10 billion multiplied by the government expenditure multiplier. D) decreases by $10 billion. E) increases by $10 billion multiplied by the tax multiplier.

If speculation is that a recession is around the corner, which means that our future incomes will most likely fall, then the effect of all this on the economy now will be

a. an upward movement along the AD curve b. a downward movement along the AD curve c. the AD curve shift to the left d. the AD curve shift to the right e. the AS curve shift to the right