When investment increases, the _{--------------------}in aggregate demand is the change in_{--------------------} lnvestment. A)increase; greater than B)decrease; greater than C)increase; smaller than D)increase; the same as E)decrease; the same as

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Quizplus · Accepted Answer

When investment increases, it leads to an increase in aggregate demand that is greater than the initial change in investment due to the multiplier effect.

When Investment Increases, the --------------------in Aggregate Demand Is the Change

When Investment Increases, the _{--------------------}in Aggregate Demand Is the Change