Let AE = Aggregate Expenditures, C = Consumption, I_P =

question 62

Multiple Choice

Let AE = Aggregate Expenditures, C = Consumption, I_P = Planned Investment,
G = Government Purchases. Consider a simple aggregate expenditures model, where
AE = C + I_P + G and all components of aggregate expenditures except consumption are autonomous. All other things unchanged, a decrease in the price level

• A) shifts the aggregate expenditures curve upwards.
• B) shifts the aggregate expenditures curve downwards.
• C) causes a movement up along a given aggregate expenditures curve.
• D) causes a movement down along a given aggregate expenditures curve.

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Definitions:

Choroid

A layer of the eye between the retina and the sclera, rich in blood vessels, supplying nutrients to the eye's inner parts.

Retina

The inner layer of the eye sensitive to light, where the conversion of light images to nerve signals that are sent to the brain occurs.

Ciliary Body

A ring-shaped tissue in the eye that connects the iris to the choroid, responsible for controlling the shape of the lens and producing aqueous humor.

Anterior Chamber

The fluid-filled space in the eye between the cornea and the iris, involved in maintaining eye pressure and nourishment of nearby tissues.