FIGURE 23-1
-Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is .Other things being equal,exogenous changes in the price level will cause
A)movement along the aggregate expenditure curve and shifts of the AD curve.
B)movement along the aggregate expenditure curve and movement along the aggregate demand curve .
C)shifts of the AE curve and shifts of the AD curve.
D)shifts of the AE curve and movement along the aggregate demand curve .
E)no change in either the AE curve or the AD curve.

Question

FIGURE 23-1
-Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is  .Other things being equal,exogenous changes in the price level will cause
A)movement along the aggregate expenditure curve and shifts of the AD curve. 
B)movement along the aggregate expenditure curve and movement along the aggregate demand curve . 
C)shifts of the AE curve and shifts of the AD curve. 
D)shifts of the AE curve and movement along the aggregate demand curve . 
E)no change in either the AE curve or the AD curve.

Quizplus · Accepted Answer

The Answer of  FIGURE 23-1
-Refer to Figure 23-1.Assume the economy is initially in equilibrium with desired aggregate expenditure equal to real GDP at point V.The price level is  .Other things being equal,exogenous changes in the price level will cause
A)movement along the aggregate expenditure curve and shifts of the AD curve. 
B)movement along the aggregate expenditure curve and movement along the aggregate demand curve . 
C)shifts of the AE curve and shifts of the AD curve. 
D)shifts of the AE curve and movement along the aggregate demand curve . 
E)no change in either the AE curve or the AD curve.

FIGURE 23-1 -Refer to Figure 23-1.Assume the Economy Is Initially in Equilibrium