According to liquidity preference theory, a drop-off in money demand for some ground other than a change in the price degree causes The interest rate to go down, so the aggregate demand shifts.
What is aggregate demand?
The total amount of goods and services produced in an economy is the measurement of the aggregate demand.
The aggregate demand is shown as the total amount of money is exchanged at the particular price level and point in time.
Thus, The interest rate to go down,
For more details about aggregate demand, click here:
https://brainly.com/question/13000505
#SPJ4
