The following would cause an upward shift in the C + I + G + X curve EXCEPT
A) an increase in disposable income.
B) an increase in export spending.
C) a decrease in import spending
D) an increase in household wealth.

Question

Quizplus · Accepted Answer

An increase in disposable income would cause an upward shift in the consumption (C) curve, but it would not affect the C + I + G + X curve. 
On the other hand, B and C are correct choices since an increase in export spending and a decrease in import spending would both increase net exports (X) and shift the C + I + G + X curve upward. 
D is also incorrect because an increase in household wealth would increase consumption and potentially increase investment, both of which would shift the C + I + G + X curve upward.

The Following Would Cause an Upward Shift in the C