A parallel upward shift of the aggregate demand line indicates an increase in an autonomous component of AD, with no change in slope (MPC). An increase in autonomous investment raises the intercept of the AD line, shifting it upward parallel to itself.
The aggregate demand line shifts parallel upwards. The reason behind this is :
CUET UG 2023 — Economics Macro
2023mcqmedium
The aggregate demand line shifts parallel upwards. The reason behind this is :
Official previous-year question
Verified 13 Jul 2026.
Options
- A
Autonomous Investment increase
- B
Autonomous Investment decreases
- C
Investment is Zero
- D
Investment is Negative
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