In the Income-Expenditure Model,if Autonomous Investment Decreases by $10 Billion,_____

question 114

Multiple Choice

In the income-expenditure model,if autonomous investment decreases by $10 billion,_____.

• A)the aggregate expenditure line shifts upward by $10 billion
• B)planned saving increases by $10 billion
• C)the aggregate expenditure line shifts downward by $10 billion
• D)planned saving decreases by $10 billion
• E)the equilibrium level of real GDP demanded increases by $10 billion

---

Definitions:

Collectivistic Cultures

Cultures that emphasize the needs and goals of the group over the individual.

Interdependent Self-construal

A concept of self that is fundamentally connected to and defined by relationships with others, emphasizing social context and interactions.

Analytical Cognition

A cognitive style characterized by logical reasoning, systematic analysis, and a focus on objective evaluation of information.

Homogenous

Consisting of parts or elements that are all the same or similar in nature.