During 2018, a country has consumption expenditures of $3.0 trillion, investment expenditures of $1.5 trillion, government expenditure of $1.5 trillion, exports of $1.0 trillion, and imports of $1.5 trillion. Aggregate expenditure for the country is
A) $7.0 trillion.
B) $5.5 trillion.
C) $8.5 trillion.
D) $6.0 trillion.
E) $6.5 trillion.

Question

Quizplus · Accepted Answer

Aggregate expenditure is calculated as the sum of consumption expenditures, investment expenditures, government expenditures, and net exports (exports minus imports). In this case, it is $3.0 trillion + $1.5 trillion + $1.5 trillion + ($1.0 trillion - $1.5 trillion) = $5.5 trillion.

During 2018, a Country Has Consumption Expenditures of $3