Suppose That the Slope of the AE Curve Is 0

question 285

Multiple Choice

Suppose that the slope of the AE curve is 0.67. Then a $100 increase in autonomous spending means equilibrium expenditure will

• A) decrease by $200.
• B) increase by $200.
• C) decrease by $300.
• D) increase by $300.

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Definitions:

Procedural Memory

A type of long-term memory for performing certain types of tasks or procedures, such as riding a bike or typing, without conscious awareness of the previous experiences.

Bicycling

The use of a bicycle for transportation, recreation, exercise, or sport.

Episodic Memory

A form of enduring memory that is concerned with remembering distinct occurrences, contexts, and personal experiences.

Episodic Long-term Memory

A type of long-term memory that involves the recollection of specific events, situations, and experiences.