Multiple Choice
Figure 10.3
Panel (a) Panel (b)
-Refer to Figure 10.3...An increase in the real interest rate,with no other changes that affect aggregate expenditure,is best represented by ________ in panel (a) and ________ in panel (b) .
A) a shift from AE₂ to AE₃; a shift from IS₁ to IS₂
B) a shift from AE₃ to AE₂; a shift from IS₂ to IS₁
C) a shift from AE₂ to AE₁; a movement from point B to point A
D) a shift from AE₃ to AE₁; a movement from point C to point A
Correct Answer:

Verified
Correct Answer:
Verified
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Q92: Figure 10.3<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4177/.jpg" alt="Figure 10.3
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