The Slope of the Aggregate Expenditure Curve Increases When the Marginal

question 127

Multiple Choice

The slope of the aggregate expenditure curve increases when the marginal propensity to consume
Or the marginal propensity to import _.

• A)increases; increases
• B)increases; decreases
• C)decreases; increases
• D)decreases; decreases

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Definitions:

Account

A document detailing all dealings related to a specific element of the accounting formula.

Trial Balance

A bookkeeping worksheet in which the balances of all ledgers are compiled into debit and credit account columns to ensure equality.

Debit And Credit Balance

Accounting terms where debit balances typically exist in asset and expense accounts, and credit balances in liability, equity, and revenue accounts.

Normal Balance

The side of an account (debit or credit) that is expected to have a higher balance, based on accounting rules.