The aggregate demand curve shifts right, output increases, and prices increase when the U.S. government doubles its spending on health care.
Aggregate demand or AD refers to the total demand for all individual goods and services.
The aggregate demand and supply for an economy can be depicted by a schedule, a curve, or even an algebraic equation. Just like the demand and supply for individual goods and services.
The total quantity of all goods and services that the economy demands at various price levels is illustrated by the aggregate demand curve.
Therefore, if the U.S. government doubles its health care spending, the aggregate demand curve shifts right, output rises, and prices rise.
Know what happens when there's equilibrium or when supply and demand meet: https://brainly.com/question/1342403
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