A movement along the same aggregate expenditure line is caused by a change in:
A)prices.
B)income.
C)price expectations.
D)interest rates.

Question

Quizplus · Accepted Answer

A movement along the same aggregate expenditure line is caused by a change in income. This is because the aggregate expenditure curve shows the total spending on goods and services in an economy for a given level of income. Changes in prices, price expectations, or interest rates would shift the entire curve, not cause movement along it.

A Movement Along the Same Aggregate Expenditure Line Is Caused