If real GDP exceeds aggregate expenditures, the economy will:
A) contract, reducing employment.
B) expand, causing inflation.
C) expand, increasing employment.
D) neither contract nor expand, holding employment constant.
Correct Answer:
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Q97: Whenever real GDP exceeds planned aggregate spending:
A)
Q98: In an economy without government purchases, government
Q99: The planned aggregate spending line has a
Q100: An increase in the expected disposable income
Q101: Use the following to answer questions:
Q103: When the economy is in income-expenditure equilibrium:
A)
Q104: If aggregate expenditures are higher than real
Q105: If aggregate expenditures equal $800 billion and
Q106: Use the following to answer questions:
Q107: Use the following to answer questions:
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