Which of the Following Does Not Shift the IS Curve

question 26

Multiple Choice

Which of the following does not shift the IS curve?

• A) An increase in autonomous consumption.
• B) An increase in government spending.
• C) A decline in government spending.
• D) A fall in the interest rate.

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Definitions:

Inventory Turnover

A measure of the number of times inventory is turned into goods sold during the year, computed by dividing the cost of goods sold by the average inventory.

Inventory Management

The practice of overseeing and controlling the ordering, storage, and use of components that a company uses in the production of the items it sells, as well as the management of finished products available for sale.

Average Total Assets

A financial metric calculated by averaging a company's total assets at the beginning and end of an accounting period, used to evaluate assets' efficiency.

Return Ratio

A financial metric indicating the profitability or effectiveness of an investment, often expressed as a percentage.