According to the classical economists, actual real GDP
A) always equals actual aggregate income.
B) sometimes equals actual aggregate income.
C) never equals actual aggregate income.
D) is not related to aggregate income.

Question

Quizplus · Accepted Answer

Classical economists believe that in an economy, actual real GDP (Gross Domestic Product) always equals actual aggregate income. This is because the total value of all goods and services produced in an economy (real GDP) is equal to the total income earned by the factors of production, reflecting a fundamental principle of national income accounting.

According to the Classical Economists, Actual Real GDP