If an economy experiences a decrease in consumer spending, Microeconomics

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If an economy experiences a decrease in consumer spending

If an economy experiences a decrease in consumer spending, most economists believe:

a. this was preceded by a decrease in investment spending.

b. the aggregate expenditure function will shift up.

c. investment spending increases occurred before this drop in consumer spending.

d. such events are temporary as investment will rise to offset this.

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Microeconomics: If an economy experiences a decrease in consumer spending

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Microeconomics: If an economy experiences a decrease in consumer spending

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