A $500 increase in investment will shift the aggregate expenditures curve up by:
A. exactly $500 and will increase the equilibrium level of real GDP by exactly $500.
B. exactly $500 and will increase the equilibrium level of real GDP by less than $500.
C. exactly $500 and will increase the equilibrium level of real GDP by more than $500.
D. more than $500 and will increase the equilibrium level of real GDP by more than $500.
Answer: C
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