Which of the following would have opposite effects on aggregate demand?

An increase in taxes; an increase in government transfers
Open market purchases by the Federal Reserve; a reduction in the discount rate
An increase in exports; an increase in investment
An increase in the reserve requirement; a desire by people to hold larger cash balances


Which of the following would increase the aggregate supply of an economy?

A tax increase.
A purchase by the Federal Reserve of securities on the open market.
A reduction in energy supplies.
Technological advancements.


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