A decrease in the price level
a. decreases investment spending, thereby shifting the AD curve.
b. increases investment spending, thereby shifting the AD curve.
c. does not shift the AD curve.
d. increases autonomous consumption spending, thereby shifting the AD curve.
e. changes the slope of the AD curve.
C
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A technological change ________ and a change in the capital stock ________
A) shifts the productivity curve; shifts the productivity curve B) shifts the productivity curve; creates a movement along the productivity curve C) creates a movement along the productivity curve; shifts the productivity curve D) does not change the productivity curve; creates a movement along the productivity curve E) does not change the productivity curve; shifts the productivity curve
According to Walton and Rockoff, the recession of 1937 and 1938 could be attributed to ______ and ______
a. the decline in world trade fostered by German and Japanese policies of self sufficiency, open market gold sales by the Federal Reserve b. increases in taxes, open market gold sales by the Federal Reserve c. increases in taxes, increases in bank required reserve ratios d. the decline in world trade fostered by German and Japanese policies of self sufficiency, increases in bank required reserve ratios
Suppose a country has government expenditures of $3,500, taxes of $2,200, consumption of $9,000, exports of $2,500, imports of $2,700, transfer payments of $750, capital depreciation of $800, and investment of $3,000 . GDP equals
a. $24,450. b. $11,550. c. $15,300. d. $20,700.
Elasticity of investment measures the responsiveness of
A) interest rates to changes in investment. B) investment to changes in government spending. C) investment to changes in the interest rate. D) investment to changes in consumption.