Using the Standard 45° Line Diagram, How Does a Decrease

question 125

Multiple Choice

Using the standard 45° line diagram, how does a decrease in investment spending effect the expenditure schedule?

• A)It increases the slope of the expenditure schedule.
• B)It decreases the slope of the expenditure schedule.
• C)It shifts the expenditure schedule downward.
• D)It shifts the expenditure schedule upward.

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Definitions:

Messy Room

A disordered or chaotic state of a room where items are scattered without organization or care.

Constructivism

A theory of learning that emphasizes the role of individuals in constructing their own understanding and knowledge of the world, through experiencing things and reflecting on those experiences.