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Explain how the aggregate expenditure function shifts in response to changes in each of the following variables: a.The real interest rate increases. b.Consumer confidence decreases.
Explain how the aggregate expenditure function shifts in response to changes in each of the following variables:
a.The real interest rate increases.
b.Consumer confidence decreases.
c.Higher taxes are imposed on business profits.
d.The economies of many countries in the rest of the world go into recessions.
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