Suppose That Investment Increases by $10 Billion

question 45

Multiple Choice

Suppose that investment increases by $10 billion.If the multiplier is 2, the AD curve

• A)is not affected.
• B)shifts rightward by a horizontal distance less than $20 billion.
• C)shifts rightward by a horizontal distance greater than $20 billion.
• D)shifts rightward by the horizontal distance $20 billion.
• E)shifts upward by a vertical distance equal to $20 billion.

---

Definitions:

I Proposition

In traditional logic, an "I proposition" is a type of categorical proposition that affirms some, but not all, members of the subject class are members of the predicate class, often structured as "Some S are P."

Explicit Quantifiers

Symbols or phrases in logic that explicitly specify the quantity of subjects to which a statement applies.

Universal

A term referring to concepts, properties, or statements that apply universally, without exceptions.

Particular

In philosophy, an individual object as opposed to a universal quality; distinguished from general or universal by being specific or detailed.