Consider the Relationship Between the AE Curve and the AD

question 46

Multiple Choice

Consider the relationship between the AE curve and the AD curve.A fall in the amount of desired consumption,investment,government purchases,or net exports at any given level of national income

• A)causes a movement along the AD curve.
• B)causes a movement along the AE curve.
• C)causes a shift of the AE curve but no movement of the AD curve.
• D)shifts the AD curve to the left.
• E)shifts the AD curve to the right.

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