Consider a Simple Aggregate Expenditure Model Where All Components of Aggregate

question 40

Multiple Choice

Consider a simple aggregate expenditure model where all components of aggregate expenditure are autonomous except consumption. Which of the following causes the aggregate expenditures curve to shift upwards?

• A) an increase in taxes
• B) an increase in exports
• C) a decrease in the national debt
• D) a decrease in interest rate

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Definitions:

Progressive Discipline Policy

A policy that applies increasingly severe penalties for repeated offenses in order to correct employee misconduct.

Binding Arbitration

A legal process in which a dispute is resolved by an impartial third party, with the decision being final and enforceable.

Binding Arbitration

A method of dispute resolution where a neutral third party makes a decision that is legally binding on both sides.

Arbitrator's Decision

The final judgment or resolution made by an arbitrator in a dispute resolution process.