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FIGURE 23-1 -Refer to Figure 23-1.Assume the Economy Is Initially in Equilibrium

Question 12

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FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . FIGURE 23-1
-Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects?


A) The AE curve shifts up to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,the AD curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,and a new equilibrium is established at point C,with real GDP at FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . .
B) The AE curve shifts down to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,the AD curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,and a new equilibrium is established at point F,with real GDP at FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . .
C) The AE curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,the AD curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,and a new equilibrium is established at point E,with real GDP at FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . .
D) The AE curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,the AD curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,and a new equilibrium is established at point F,with real GDP at FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . .
E) The AE curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,the AD curve shifts to FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . ,and a new equilibrium is established at point E,with real GDP at FIGURE 23-1 -Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Now,suppose there is an increase in desired investment and no change in the price level.Which of the following statements describes the likely macroeconomic effects? A) The AE curve shifts up to ,the AD curve shifts to ,and a new equilibrium is established at point C,with real GDP at . B) The AE curve shifts down to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . C) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . D) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point F,with real GDP at . E) The AE curve shifts to ,the AD curve shifts to ,and a new equilibrium is established at point E,with real GDP at . .

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