Suppose that the slope of the AE curve is 0.75. Then a $100 decrease in autonomous spending means equilibrium expenditure will
A) increase by $750.
B) decrease by $400.
C) increase by $400.
D) decrease by $750.

Question

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The Answer of Suppose that the slope of the AE curve is 0.75. Then a $100 decrease in autonomous spending means equilibrium expenditure will
A) increase by $750.
B) decrease by $400.
C) increase by $400.
D) decrease by $750.

Suppose That the Slope of the AE Curve Is 0