The expenditure schedule will shift upward when

Question

Quizplus · Accepted Answer

Autonomous consumption refers to consumer spending that is not influenced by changes in income or other external factors. An increase in autonomous consumption means that consumers will spend more at all income levels, causing the expenditure schedule to shift upward. A decrease in investment, a rise in price level, or a decrease in net exports would all lower aggregate demand and shift the expenditure schedule downward.

The Expenditure Schedule Will Shift Upward When