Refer to the Diagram Below

question 143

Multiple Choice

Refer to the diagram below.The change in aggregate expenditures as shown from (C + I_g + X_n2) to (C + I_g + X_n1) might be caused by:

• A)an appreciation of this nation's currency relative to the currencies of its trading partners.
• B)a depreciation of this nation's currency relative to the currencies of its trading partners.
• C)a decrease in this nation's price level relative to price levels abroad.
• D)a rightward shift in this nation's aggregate supply curve.

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