caption: As a result, the aggregate expenditure line shifts from AE1 to AE2.
exif: {"Image DocumentName": "As a result, the aggregate expenditure line shifts from AE1 to AE2.", "Image ImageDescription": "Figure The Multiplier Effect. The economy is initially in equilibrium at potential GDP,YP, and then the investment component, I, of aggregate expenditure falls. As a result, the aggregate expenditure line shifts from AE1 to AE2. The economy moves down the AE line to a new equilibrium level of output,Y2.The decline in output is greater than the decline in investment spending that caused it. The IS Curve.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}