Multiple Choice
In the Keynesian cross diagram,a decrease in investment spending because companies become more pessimistic about investment profitability causes the aggregate demand function to shift down,the equilibrium level of aggregate output to ________,and the IS curve to shift to the ________,everything else held constant.
A) rise;left
B) rise;right
C) fall;left
D) fall;right
Correct Answer:
Verified
Correct Answer:
Verified
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