Suppose changes in autonomous consumption affect investment, Ask an Expert

Economics

Suppose changes in autonomous consumption affect investment while changes in autonomous government spending do not. In this case, identical changes in autonomous consumption and autonomous government spending: A. have identical effects on equilibrium income. B. may have identical effects on equilibrium income depending on the multiplier. C. have different effects on equilibrium income. D. may have identical effects on equilibrium income depending on the size of the change in autonomous net exports and autonomous government spending, as well as whether the President played golf on the weekend or not.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M91924802

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