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Chapter 3 - Question 16
C
Which of the following would best-explain the observed rightward (outward) shift in the curve?
The business sector in North Portlandia becomes very optimistic about future economic conditions.
Households decide to increase their saving for retirement.
There is a large decline in the real interest rate in North Portlandia.
The government implements a policy to reduce the size of the budget deficit.
O
The business sector decides to increase the amount of its retained earnings.

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Subject: Business, Economics

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