If autonomous investment expenditures decline because of higher interest rates
A) income increases
B) the rate of return declines
C) autonomous consumption declines
D) aggregate demand increases
E) aggregate demand decreases
Correct Answer:
Verified
Q37: The economy will expand if
A)leakages exceed injections
B)injections
Q38: If the full employment level of income
Q39: In the income-expenditure framework,if planned aggregate expenditures
Q40: On the aggregate expenditure graph,if autonomous saving
Q41: If the marginal propensity to consume equals
Q43: The larger the MPS,the smaller the multiplier
Q44: The larger the MPC,the greater the multiplier
Q45: If the economy is currently at equilibrium
Q46: The simple multiplier
A)when divided by consumption spending
Q47: Exhibit 9-9
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