Which of the following is correct if real GDP is $20 trillion and spending is $20.5 trillion?
A) Spending is greater than output by $0.5 trillion.
B) Spending is lesser than output by $0.5 trillion.
C) Spending is greater than output by $20.5 trillion.
D) Spending is lesser than output by $20.5 trillion.
E) Spending is equal to output.

Question

Quizplus · Accepted Answer

Spending exceeds output by $0.5 trillion, as spending is $20.5 trillion and output (real GDP) is $20 trillion.

Which of the Following Is Correct If Real GDP Is