Figure 9-1

-Using the standard 45° line diagram, how does an increase in investment spending effect the expenditure schedule?
A) It shifts the expenditure schedule downward.
B) It shifts the expenditure schedule upward.
C) It increases the slope of the expenditure schedule.
D) It decreases the slope of the expenditure schedule.
Correct Answer:
Verified
Q92: Figure 9-1 Q93: A recessionary gap occurs when Q94: Government stabilization policy Q95: If total spending is less than the Q96: The expenditure schedule will shift upward when Q98: The amount by which equilibrium real GDP Q99: Two variables that affect the slope of
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A)the price level
A)cannot influence investment spending.
B)can stimulate
A)investment
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