An increase in investment demanded will shift the aggregate demand curve to the right by an amount equal to the _________.
A) (?I) where ?I = change in investment
B) (MPC x ?I) where MPC = marginal propensity to consume
C) (Im x ?I) where m = investment spending multiplier
D) (Mm x?I) where m = money multiplier
Correct Answer:
Verified
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