An Increase in Government Spending Can Be Expected to Shift

question 26

Multiple Choice

An increase in government spending can be expected to shift the:

• A)aggregate expenditures curve downward and the aggregate demand curve leftward.
• B)aggregate expenditures curve upward and the aggregate demand curve leftward.
• C)aggregate expenditures curve downward and the aggregate demand curve rightward.
• D)aggregate expenditures curve upward and the aggregate demand curve rightward.

---

Definitions:

Diversity

The inclusion and representation of different groups of people, such as races, cultures, ages, and genders, within a community or organization.

Economies Of Scale

Refers to the cost advantage that arises with increased output of a product, where the per-unit cost decreases as the production scale becomes larger.

Profit Margin

A financial ratio expressing the percentage of revenue that remains as profit after all expenses are deducted from sales, indicating the financial health and efficiency of a business.

Construction Industry

The sector of the economy that deals with the construction, maintenance, and repair of buildings, roads, and other physical structures.