Use the figure below to answer the following questions.
Figure 8.5.2
-Refer to Figure 8.5.2.Which one of the following best shows the effect of an increase in real GDP?
A)Movement from E to A
B)Movement from A to C
C)Movement from B to A
D)Movement from A to E
E)Movement from A to F

Question

Use the figure below to answer the following questions.
  Figure 8.5.2
-Refer to Figure 8.5.2.Which one of the following best shows the effect of an increase in real GDP?
A)Movement from E to A 
B)Movement from A to C 
C)Movement from B to A 
D)Movement from A to E 
E)Movement from A to F

Quizplus · Accepted Answer

An increase in real GDP typically results in an upward movement along the aggregate demand curve due to increased spending power, which is represented by a movement from A to E.

Use the Figure Below to Answer the Following Questions