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Figure 36-7 ​

Question 2

Multiple Choice

Figure 36-7
​ Figure 36-7 ​ -In Figure 36-7, there are three aggregate expenditure functions (C + I + G + X − IM) for an open economy.Which of the following would cause a movement from A to B? A) a European economic expansion B) A decrease in the money supply C) An increase in the interest rate D) An increase in the U.S.price level
-In Figure 36-7, there are three aggregate expenditure functions (C + I + G + X − IM) for an open economy.Which of the following would cause a movement from A to B?


A) a European economic expansion
B) A decrease in the money supply
C) An increase in the interest rate
D) An increase in the U.S.price level

Correct Answer:

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