Multiple Choice
A decrease in the marginal propensity to spend out of national income will cause
A) a movement to the right along the AE curve.
B) a movement to the left along the AE curve.
C) an increase in the slope of the AE curve,which rotates it upward.
D) a decrease in the slope of the AE curve,which rotates it downward.
E) a parallel downward shift in the AE curve.
Correct Answer:
Verified
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