Assume there is no foreign trade and the economy is in equilibrium.If actual investment is greater than desired investment,then it is most likely that
A) Saving plus government spending is greater than investment plus taxes.
B) Saving plus taxes is greater than investment plus government spending.
C) Investment plus taxes is greater than saving plus government spending.
D) Investment plus government spending is greater than saving plus taxes.
Correct Answer:
Verified
Q27: The multiplier process can occur when a
Q28: If consumers spend 90 cents out of
Q29: If the marginal propensity to consume is
Q30: Assuming an upward-sloping AS curve,if an economy
Q31: Actual investment equals
A)Desired investment plus planned investment.
B)Planned
Q33: Which of the following is an example
Q34: If the marginal propensity to save is
Q35: When unwanted business inventories pile up,which of
Q36: The formula for the multiplier is
A)1/(1 -
Q37: The marginal propensity to consume is
A)That part
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