Suppose consumption rises while investment and government purchases remain constant. How will the AD curve shift in

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Suppose consumption rises while investment and government purchases remain constant. How will the AD curve shift in the simple Keynesian model? Under what condition will the rise in Real GDP be equal to the rise in total spending?

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Economics

ISBN: 978-1285738321

12th edition

Authors: Roger A. Arnold

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Question Posted: Feb 12, 2016 07:20 AM

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Suppose consumption rises while investment and government purchases remain constant. How will the AD curve shift in

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An initial increase in autonomous consumption lead...View the full answer

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