At macroeconomic equilibrium, total ________ equals total ________.
A)spending; production
B)investment; inventories
C)consumption; production
D)taxes; transfer payments

Question

Quizplus · Accepted Answer

At macroeconomic equilibrium, total spending equals total production, which means that everything produced is being consumed or invested, with no excess inventory or deficiency in demand. Therefore, choice A (spending; production) is the best answer. Choices B, C, and D do not represent the balance of the economy at equilibrium.

At Macroeconomic Equilibrium, Total ________ Equals Total ________

At Macroeconomic Equilibrium, Total Equals Total