Exhibit 23-5 
-If output was at the level corresponding to point E in Exhibit 23-5, then
A) income would increase.
B) aggregate output would decrease.
C) it would be in equilibrium.
D) the marginal propensity to consume would decrease.
E) spending would decrease.
Correct Answer:
Verified
Q131: When spending equals income, people consume according
Q132: If spending as given by the expenditure
Q133: Spending balance exists if
A)the economy is at
Q134: Exhibit 23-5 Q135: Spending balance occurs when people consume according Q137: When does the slope of the expenditure Q138: Which of the following statements best describes Q139: When spending is equal to output and Q140: When spending balance is achieved, the economy Q141: The following table shows the relationship between
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