Refer to the information provided in Figure 8.5 below to answer the questions that follow. Figure 8.5
-Refer to Figure 8.5. If aggregate consumption is the only expenditure in this society, at an income level of $800 billion
A) saving is zero.
B) consumption equals income.
C) the economy is in equilibrium.
D) all of the above

Question

Refer to the information provided in Figure 8.5 below to answer the questions that follow.  Figure 8.5
-Refer to Figure 8.5. If aggregate consumption is the only expenditure in this society, at an income level of $800 billion
A) saving is zero. 
B) consumption equals income. 
C) the economy is in equilibrium. 
D) all of the above

Quizplus · Accepted Answer

At an income level of $800 billion, if aggregate consumption is the only expenditure in this society, then saving would be zero and consumption would equal income. Thus, the economy would be in equilibrium. Therefore, all of the above choices are correct.

Refer to the Information Provided in Figure 8