Holding All Else Constant, a Change in Autonomous Aggregate Expenditures

question 3

Multiple Choice

Holding all else constant, a change in autonomous aggregate expenditures will shift in aggregate demand by an amount equal to

• A) the change in autonomous aggregate expenditures.
• B) the multiplier times the change in autonomous aggregate expenditures.
• C) the change in real GDP divided by the change in autonomous aggregate expenditures.
• D) the multiplier.

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Definitions:

Dimethylamine

Dimethylamine is a simple amine consisting of two methyl groups attached to a nitrogen atom, used in a wide range of chemical applications, including as a precursor for certain chemicals.

3-pentanone

An organic compound characterized by a five-carbon chain with a ketone functional group at the third carbon atom.

Enamine

Derivatives of alkenes formed from the reaction between a secondary amine and a carbonyl group, often used as intermediates in organic synthesis.

Imine

A functional group or compound featuring a carbon-nitrogen double bond, often formed by the condensation of an aldehyde or ketone with an amine.