Article Summary Gains in Consumer Spending and Construction Gave GDP a Bigger

question 195

Multiple Choice

Article Summary
Gains in consumer spending and construction gave GDP a bigger boost than was forecast in the second quarter of 2015,growing at an annualized rate of 3.9 percent.Declining energy prices,rising home prices,and increased employment are being credited for much of the gain in consumer spending,which grew at an annualized rate of 3.6 percent.Increases in commercial and residential construction boosted business investment spending,which grew at an annual rate of 5.2 percent.Government spending also grew at an annual rate of 2.6 percent for the quarter.Economists cited the primary obstacle for continuing this growth pace in the third quarter is the need to reduce excess inventories.
-Refer to the Article Summary.The increase in consumer spending discussed in the article summary was due in part to increases in employment and lower energy prices,which lead to an increase in disposable income.The increase in consumption resulting from the increase in disposable income will cause a(n) ________ the aggregate expenditure curve.

• A)movement up along
• B)movement down along
• C)downward shift of
• D)upward shift of

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Definitions:

Integration

The process of combining or coordinating separate elements or components to work together in a unified or harmonious manner.

Repertoire

A collection or set of skills, techniques, or knowledge that an individual can employ.

Alternative Behaviors

Different actions or reactions that can be chosen or adopted in response to a given situation or condition.

Desired Outcome

The specific, intended result or effect of an action, intervention, or process, often set as a goal or objective.