The total expenditure on goods and services in a country must be the same as the total income earned from selling goods and services because:
a. the government's annual budget has to balance.
b. net exports in an economy is usually zero.
c. one sector's expenditures are another sector's income.
d. total investment in an economy always equals total saving.
e. the sum of consumption spending and saving is zero.
c
You might also like to view...
Assume that average labor productivity is the same in each country. Based on the information in the table, which country has the highest real GDP per capita?CountryPopulation (millions)Share of Population Employed (%)A10060B15055C7550D25045E9540
A. Country A B. Country B C. Country C D. Country D
A negative shock in aggregate demand will likely result in no permanent change in ________
A) output B) the equilibrium inflation rate if the central bank responds by lowering interest rates C) aggregate demand, if the central bank responds by lowering interest rates D) all of the above E) none of the above
A "bill of rights" for union members and a provision of union election procedures were two of the main provisions of the _____ Act.
A. National Labor Relations B. Taft-Hartley C. Landrum-Griffin D. Sherman Antitrust
Which of the following is TRUE of unemployment?
A. The result is that the economy operates inside its production possibilities curve. B. There are psychological consequences associated with unemployment. C. It is defined as the number of people actively looking for work who do not have jobs. D. All of these.