Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Relate the following newspaper headines to shifts in the C. S, 1, and AE functions and to changes in equilibrium national Income Revival of consumer

image text in transcribed
image text in transcribed
Relate the following newspaper headines to shifts in the C. S, 1, and AE functions and to changes in equilibrium national Income "Revival of consumer confidence leads to increased spending O A. The consumption function shifts up, the AE function shifts up, and aquibriom national income increases O B. The consumption function shifts up and the investment function shifts down, hence, a shift of the AE function and a change in equilibrium national income are unpredictable O C. The consumpSon function shifts up and the investment function shifts down, hence, the AE function does not shit and equilibrium national income does not change D. The saving function shits down the AE function shifts down, and equlibrium national income decreases b High mortgage rates discourage new house purchases Assuming that housing construction falls when house sales fal A. the investment function shits down, the AE function shifts down, and the equilibrium level of national income decreases. B. both the investment and the saving functions shift up, the AL function shifts up, and equilibrium national income increases ( C. only the saving function shifts up, the AE function does not shift, and equilibrium national income does not change @ D. the consumption function shifts up the AE function shafts up, and equilibrium national income increases. Concern over future leads to a reduction in inventories Of Only the saving tinction that's up, the AE function does not shit, and equilibrium national income does not change @ B The investment function starts up. the AE functions shits up, and equlibslum national income increases O C. The consumption function shits up, the AE function shits up, and equilibrium national income bcreates @ D. The investment function shits down, the AE function shits down, and equibrum national income tabs d 'Accelerated depreciation allowances in the now federal budget set of boom in equipment purchases. O A The investment tinction shifts up, the AE function shitis up, and equateloom national income increases @B, The investment function shits up and the saving function shits down hence, a shift of the AE junction and a change O C. The consumption function shifts up, the AE function shits up, and equibrun havenal income O D. Both the consumption and the saving function shit up, bence, a shot of the AE function and a c "Consumers spend as stock market sears O A. The consumption function shifts up, the AE function shits up, and squidudum national income increases 1. Both the investment and the consumption functions shift up, the AL function shits tip, and i paibetom national income hommies C C. The saving function shifts up, the AE function shits down, and equilibrium national income decreases O'D. The consumption function shifts down and the investment function shits up; hence, the AE function does not shift and equalbrim national interne does not change Type here to search 19 Q) D. The consumption function shifts down and the investment function shifts up, hence, the AE function does not shift and equilibrium national income does not change ( "COVID-19 locks people inside and pushes up household saving" Taken by itself, O A. the consumption function shifts up and the saving function shifts down, hence, the AE function does not shit an m national income does not change O B. the saving function shits down, the AE function shits down, and equilibrium O C. the consumption function shifts up and the saving function shifts down hence, " shift of the AE function and a change in equilibrium national income are unpredictable 0. the consumption function shifts down, the AE tinction shits down, and equilibrium national income decreases 0 Optimism about vaccine roll-out leads to surge in business investment Taken by Itself O A. the investment function shits up the AE function shits up and squabrium national ince O B. the consumption function shifts up. the AE function shifts up C. both the consumption and the saving function shift up, hence, a shit of the AE function and a char along income ave unpredictable OD. the westment function shifts up and the saving function shits down; hence, a shift of the AU function and a change in equalbiken national income are unpredictable

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

10th Edition

1119491630, 978-1119491637, 978-0470534793

Students also viewed these Economics questions

Question

b. What is the persons job title?

Answered: 1 week ago