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    Question

    A decrease in planned investment spending causes

    aggregate output to;
    A decrease by an amount equal to the change in investment spending. Correct Answer Incorrect Answer
    B increase by an amount less than the change in investment spending. Correct Answer Incorrect Answer
    C increase by an amount greater than the change in investment spending. Correct Answer Incorrect Answer
    D decrease by an amount less than the change in investment Correct Answer Incorrect Answer
    E none of these Correct Answer Incorrect Answer

    Solution

    A decrease in planned investment spending causes aggregate output to decrease by an amount equal to the change in investment spending

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