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Figure 36-7 In Figure 36-7, There Are Three Aggregate Expenditure Functions

Question 11

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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

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