An increase in the budget deficit shifts the demand for loanable funds to the right

Which of the following increases aggregate demand?

A) a decrease in taxes B) a decrease in foreign income C) a decrease in government expenditure D) a rise in the interest rate

If the price level for the last three months has been 112, 125, and 126, we would say

A) inflation has been constant over the three months. B) inflation was more rapid between the first and second month than between the second and third month. C) inflation was less rapid between the first and second month than between the second and third month. D) inflation has steadily increased over the three months.