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In the Keynesian Cross Diagram,an Increase in Autonomous Consumer Expenditure

question 108

Multiple Choice

In the Keynesian cross diagram,an increase in autonomous consumer expenditure causes the aggregate demand function to shift ________ and the equilibrium level of aggregate output to ________,everything else held constant.


Definitions:

Additive Inverse

The additive inverse of a number is a value that, when added to the original number, results in zero. For example, the additive inverse of 5 is -5.

Multiplicative Inverse

Also known as the reciprocal, it is a number which, when multiplied by the original number, results in a product of one.

Distributive Property

A property that allows one to multiply a single term by each term within a parenthesis in a sum or difference.

Real Numbers

The set of all rational and irrational numbers, including all numbers that can be written as a decimal.

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