Refer to the information provided in Figure 23.9 below to answer the question(s) that follow. Figure 23.9
-Refer to Figure 23.9. As a result of an increase in investment by $20 million, aggregate expenditures shifts ________, ________ equilibrium output and equilibrium expenditure.
A) down; increasing
B) up; increasing
C) down; decreasing
D) down; not changing

Question

Refer to the information provided in Figure 23.9 below to answer the question(s) that follow.  Figure 23.9
-Refer to Figure 23.9. As a result of an increase in investment by $20 million, aggregate expenditures shifts ________, ________ equilibrium output and equilibrium expenditure.
A) down; increasing 
B) up; increasing 
C) down; decreasing 
D) down; not changing

Quizplus · Accepted Answer

An increase in investment will shift aggregate expenditures upward, which will increase the equilibrium output and equilibrium expenditure.

Refer to the Information Provided in Figure 23