Multiple Choice
If investment increases by $10 billion and the economy's MPC is 0.8, the aggregate demand curve will shift
A) leftward by $50 billion at each price level.
B) rightward by $10 billion at each price level.
C) rightward by $50 billion at each price level.
D) leftward by $40 billion at each price level.
Correct Answer:
Verified
Correct Answer:
Verified
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