Economics 9708 · AS & A Level · Aggregate demand and aggregate supply

Aggregate demand and aggregate supply — practice question

If all other factors remain unchanged, what would cause the level of national income in an economy to fall?

  • Aa fall in planned savings
  • Ba fall in the marginal propensity to import
  • Can increase in the average propensity to consume
  • Da reduction in the level of defence expenditure

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