When households and firms become more pessimistic

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Which of the following likely occurs when households and firms become more pessimistic?

a) increased spending, increased aggregate demand, rising real GDP, and a rising unemployment rate

b) decreased spending, increased aggregate demand, rising real GDP, and a falling unemployment rate

c) decreased spending, decreased aggregate demand, falling real GDP, and a rising unemployment rate

d) decreased spending, decreased aggregate demand, falling real GDP, and a falling unemployment rate

Reference no: EM131378482

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