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Using Figure 2 Above, Suppose That the Economy Started at PAE2

Question 72

Multiple Choice

  Using Figure 2 above, suppose that the economy started at PAE2. A potential change that could cause the economy to go from PAE2 to PAE1 might be: A)  consumption increases. B)  investment increases. C)  export increase. D)  government spending decreases. Using Figure 2 above, suppose that the economy started at PAE2. A potential change that could cause the economy to go from PAE2 to PAE1 might be:


A) consumption increases.
B) investment increases.
C) export increase.
D) government spending decreases.

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