Article Summary Gains in Consumer and Business Spending Gave GDP a Bigger

Multiple Choice

Article Summary
Gains in consumer and business spending gave GDP a bigger boost than was forecast in the third quarter of 2017, growing at an annualized rate of 3 percent. Motor vehicle sales following the hurricanes that struck Texas and Florida are being credited for much of the gain in consumer spending, which grew at an annualized rate of 1.6 percent, and a steady job market, low inflation, and low interest rates are expected to sustain consumer spending. Residential investment remained weak, but nonresidential investment increased 3.9 percent. Government spending declined slightly, and after-tax income increased by 0.6 percent after being adjusted for inflation.

-Refer to the Article Summary. The increase in GDP discussed in the article summary was due in part to increases in nonresidential investment. Increases in nonresidential investment will cause a(n) ________ the aggregate expenditure curve.

A) movement up along
B) movement down along
C) downward shift of
D) upward shift of