The figure shows planned aggregate expenditure and output for an economy. Suppose that the economy starts at PAE₂. Which change would cause a move from PAE₂ to PAE₁? A) The wealth level decreases. B) Interest rates decrease. C) The expected profitability of investments increase. D) Domestic income decreases.

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The Answer of The figure shows planned aggregate expenditure and output for an economy. Suppose that the economy starts at PAE₂. Which change would cause a move from PAE₂ to PAE₁? A) The wealth level decreases. B) Interest rates decrease. C) The expected profitability of investments increase. D) Domestic income decreases.

The Figure Shows Planned Aggregate Expenditure and Output for an Economy