FIGURE 21-3 -Refer to Figure 21-3.A Shift in the Aggregate Expenditure Function

question 103

Multiple Choice

FIGURE 21-3
-Refer to Figure 21-3.A shift in the aggregate expenditure function from AE₀ to AE₁ could be caused by

• A)a rise in the multiplier.
• B)a fall in the marginal propensity to consume.
• C)a rise in the marginal propensity to consume.
• D)an increase in desired investment expenditures.
• E)a decrease in desired investment expenditures.

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Definitions:

Different Approach

Adopting a new or alternative method or perspective to address a problem or task.

Forms of Communication

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