Desired investment equals
A) Desired changes in business inventories.
B) Purchases of new plants and equipment plus desired changes in business inventories.
C) Desired investment plus undesired investment.
D) Desired changes in business inventories less purchases of new plants and equipment.
Correct Answer:
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Q16: The primary source of macro instability,when there
Q17: Investment represents
A)A leakage from the circular flow,like
Q18: John Maynard Keynes argued that
A)Macro failure is
Q19: The output level at which the aggregate
Q20: Leakages include
A)Business saving.
B)Exports.
C)Government spending.
D)Inventories.
Q22: An initial (autonomous)decrease in aggregate demand will
Q23: Assuming an upward-sloping AS curve,if an economy
Q24: Given the MPS = 0.40,with no government
Q25: When unwanted inventories pile up in retail
Q26: Which of the following equations defines the
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