India’s real GDP was $2.5 trillion in 2018. Using the simple aggregate expenditure model and assuming that the country’s economy was in equilibrium, what was India’s aggregate expenditure?
a. $25 billion
b. $250 billion
c. $2.5 trillion
d. $250 trillion
c. $2.5 trillion
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The U.S. employment-to-population ratio peaked in 2000 and in 2012 fell to 58 percent, a level not seen since the early 1980s. This fall in the employment-to-population ratio ________ the equilibrium quantity of labor and ________ potential GDP
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases
For a person who consumes only steak and lobster, a fall in either the price of a steak or the price of a lobster shifts the budget line for the two leftward and does not change its slope
Indicate whether the statement is true or false
The coefficient of determination is defined as the:
A) ratio of the total sum of squared errors to the sum of squared errors. B) ratio of the regression sum of squares to the sum of the squared errors. C) ratio of the sum of squared errors to the total sum of squared errors. D) none of the above.
Which of the following will cause the LM curve to shift to the left?
A) A decrease in investment B) A decrease in money demand C) An increase in velocity D) A decrease in the money supply