In the short run, with predetermined prices, when output is less than planned aggregate expenditure:

A. planned investment is less than actual investment.
B. potential output is less than short run equilibrium output.
C. planned investment is greater than actual investment.
D. potential output is greater than short run equilibrium output.


Answer: C

Economics

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A firm moves from one SRATC curve to another

a. when it changes the number of workers it employs b. when it has contractual obligations on its plant and equipment c. when it produces more output with the same plant size d. in the short run e. in the long run

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Discuss the differences between Keynesian and supply-side fiscal policies.

What will be an ideal response?

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Individual farmers maximize profit by producing the level of output at which

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