For each of the given state whether you would draw an aggregate demand or aggregate supply diagram and predict what shift each situation would cau.se in the AS or AD curve and why so. Assume full employment at the starting point in each case.
1. The Bank of Canada decreases interest rates.
2. The Canadian government increases spending on new programs.
3. A booming economy in the United States increases Canadian exports.
4. Canadian corporate tax rates are reduced.
5. Canadian personal income tax rates increase to help fund the public debt.