The schedule that relates the level of desired total expenditures to the level of actual national income is called the
A)consumption function.
B)desired aggregate demand function.
C)aggregate expenditure function.
D)dissaving function.
E)equilibrium function.

Question

Quizplus · Accepted Answer

The schedule that relates the level of desired total expenditures to the level of actual national income is called the aggregate expenditure function. It shows the total amount of spending in the economy at different levels of income. It includes consumption expenditure, investment expenditure, government expenditure, and net exports.

The Schedule That Relates the Level of Desired Total Expenditures