If investment decreases by $20 billion and the economy's MPC is .5, the aggregate demand curve will shift: Select one: a. leftward by $40 billion at each price level. b. rightward by $20 billion at each price level. c. rightward by $40 billion at each price level. d. leftward by $20 billion at each price level.

If investment decreases by $20 billion and the economy's MPC is .5, the aggregate demand curve will shift: Select one: a. leftward by $40 billion at each price level. b. rightward by $20 billion at each price level. c. rightward by $40 billion at each price level. d. leftward by $20 billion at each price level.

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter9: Aggregate Demand

Section: Chapter Questions

Problem 6.13P

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