All else being? constant, autonomous expenditure
A) increases as real GDP increases.
B) increases as real GDP decreases.
C) does not change with changes in real GDP.
D) is assumed to be zero.
Answer: C) does not change with changes in real GDP.
You might also like to view...
In 1970 the CPI was 39, and in 2000 it was 172. A local phone call cost $0.10 in 1970. What is the price of this phone call in 2000 dollars?
A) $1.42 B) $0.39 C) $1.72 D) $0.44 E) $0.23
The slope of the aggregate expenditure function is the sum of the:
A) marginal propensity to consume and marginal propensity to save. B) marginal propensity to consume and marginal propensity to invest. C) marginal propensity to consume, marginal propensity to save, and marginal propensity to import. D) marginal propensity to consume, marginal propensity to invest, and marginal propensity to import.