In an open economy,[C + I + G + EX - IM] equals
A. unplanned inventories.
B. aggregate supply.
C. the balance of trade.
D. planned aggregate expenditures.
Answer: D
You might also like to view...
If the Fed decides to reduce bank reserves, it can
A) purchase government bonds. B) extend discount loans to banks. C) sell government bonds. D) print more currency.
If the government spends less than what it receives in taxes during a given interval, then the result is
A) a balanced budget. B) an entitlement. C) unrealized public debt. D) a government budget surplus.
In a market economy,
a. households decide which firms to work for and what to buy with their incomes. b. firms decide whom to hire and what to make. c. a central planner makes decisions about production and consumption. d. Both a and b are correct.
Cross-price elasticity looks at the impact that income changes have on sales.
Answer the following statement true (T) or false (F)