How does an increase in government spending affect the aggregate expenditure line?
A) It shifts the aggregate expenditure line upward.
B) It increases the slope of the aggregate expenditure line.
C) It shifts the aggregate expenditure line downward.
D) It decreases the slope of the aggregate expenditure line.
A
Economics
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If a producer is willing to receive at least $5 for a pen that she manufactures but she actually receives $7 for it. The producer surplus of the pen for that producer is
A) $5. B) $2. C) $7. D) -$5.
Economics
When a firm is experiencing economics of scale, long run
a. average total cost is minimized, b. average total cost is greater than long-run marginal cost, c. average total cost is less than long-run marginal cost, d. marginal cost is minimized. e. none of the above
Economics