The total of all planned production for the economy is
A) determined only by individuals and firms.
B) determined only by the government.
C) aggregate demand.
D) aggregate supply.

Question

Quizplus · Accepted Answer

The total of all planned production for the economy is referred to as aggregate supply, which is the total quantity of goods and services that firms are willing and able to produce at a given price level. While individuals and firms do contribute to this, it is ultimately determined by the overall production capacity of the economy. Aggregate demand, on the other hand, refers to the total demand for goods and services in the economy, while the government may influence production through its policies and investments, but it ultimately does not determine it alone.

The Total of All Planned Production for the Economy Is