If planned aggregate expenditure equals GDP,the economy is in macroeconomic equilibrium.

Question

Quizplus · Accepted Answer

In macroeconomic equilibrium, aggregate demand (planned aggregate expenditure) is equal to the level of production (GDP) in the economy. This means that all goods and services produced in the economy are being bought and absorbed by the market, and there is no excess supply or demand. Therefore, if planned aggregate expenditure equals GDP, the economy is in macroeconomic equilibrium.

If Planned Aggregate Expenditure Equals GDP,the Economy Is in Macroeconomic