The sum of all planned expenditures for the entire economy at each possible price level is
A) aggregate supply.
B) effective demand.
C) aggregate demand.
D) actual expenditures by consumers.

Question

Quizplus · Accepted Answer

The sum of all planned expenditures for the entire economy at each possible price level is known as aggregate demand. It represents the total demand for goods and services in the economy and is a crucial factor in determining the overall level of economic activity. Aggregate supply, on the other hand, refers to the total supply of goods and services in the economy, while effective demand and actual expenditures by consumers are related to specific aspects of demand.

The Sum of All Planned Expenditures for the Entire Economy