Assume that the aggregate demand curve shifts to the right through increased government spending. assuming that the position of the ad curve changes, how does this event affect the government budget deficit and the foreign trade deficit?

The government budget deficit and the foreign trade deficit will increase

Explanation:

The aggregate demand model is a macroeconomic model that show the balance between supply and demand and how they interact with each other. Also, this model shows the effects of fiscal and monetary policy have on aggregate demand.

An increase in government spending (a fiscal policy) will shift the demand curve to the right. However, this increased spending means that the government will have to run a larger budget deficit, while the change in exchange rates means that the foreign trade deficit will increase as well.

in the united states a public policy is an agreed upon way that our federal, state, or local government fulfills its responsibilities, such as protecting the rights of individuals and promoting the welfare of all the people. some public policies are written into laws by legislatures. other policies are contained in rules and regulations created by executive branches of government, the branches responsible for carrying out and enforcing laws.

the following are examples of public policies and the governmental agencies responsible for carrying them out.

school districts are responsible for making policies regarding student behavior and discipline. teachers and school administrators enforce these policies. state legislatures are responsible for making laws that place speed limits on drivers. police officers enforce these laws. city governments often adopt policies that prohibit people from operating liquor stores near public schools. city inspectors and zoning departments enforce these policies.

when people become aware of problems in their communities, they often want government to develop and carry out policies to deal with those problems. these may be problems for which there are

existing policies or laws that do not work well,

existing policies or laws that are not being enforced,

no policies or laws.

as a citizen of the united states you have a right to say what you think government should do about problems in your community. you also have a right to say what you think about problems in your state, the nation, and about international problems. you have the right to try to influence the decisions people in your government make about all of those problems.

to be able to participate effectively, however, citizens need to know which levels of government and which governmental agencies are responsible for changing, enforcing, or developing a specific public policy. for example, state legislatures may direct agencies to enact policies resulting from federal legislation. or, local governments may create policies in order to carry out responsibilities assigned to them through laws enacted at the state or federal level. additionally, as part of the process of developing and implementing policy, governmental agencies must determine if the new policy conflicts with existing legislation or policy.

this project is intended to you learn how to express your opinions, how to decide which level of government and which agency is most appropriate for dealing with the problem you identify, and how to influence policy decisions at that level of government. it calls for you to work cooperatively with others in your class and, with the of your teacher and adult volunteers, to accomplish the following tas

answer; a client who is similar to you;