-In the above figure, the increase in autonomous expenditure moves the economy from point E to
A) point F.
B) point G.
C) point H.
D) point I.

Question

-In the above figure, the increase in autonomous expenditure moves the economy from point E to
A) point F. 
B) point G. 
C) point H. 
D) point I.

Quizplus · Accepted Answer

An increase in autonomous expenditure shifts the aggregate demand curve upwards or to the right, moving the equilibrium point from a lower to a higher level of output and income, which is represented by moving from point E to point G in a typical aggregate demand and aggregate supply model.

-In the Above Figure, the Increase in Autonomous Expenditure Moves