Which of the following statements is CORRECT?
a) actual aggregate expenditures does not always equal real GDP
b) planned investment exceeds actual investment when real GDP is greater than aggregate planned expenditures
c) actual investment exceeds planned investment when real GDP is less than aggregate planned expenditures
d) none of the above is correct
d) none of the above is correct
You might also like to view...
Refer to the figure below.________ inflation will eventually move the economy pictured in the diagram from short-run equilibrium at point ________ to long-run equilibrium at point ________, 
A. Rising; B; C B. Falling; A; C C. Falling; A; B D. Rising; A; C
Assume there are only two individuals in an economy, Lisa and Bart. The utility possibilities frontier for these individuals is given as:
120 = UL + UB where UL is Lisa's utility and UB is Bart's utility. Lisa's current level of utility is 20, Bart's level of utility is 90. This combination is: A) inefficient. B) economically efficient. C) impossible, because it is outside of the welfare frontier. D) none of the above
Mutually beneficial trade will occur whenever the exchange rate between the goods involved is set at a level where:
A. each country can export a good at a price below the opportunity cost of producing the good in the domestic market. B. each country can import a good at a price below the opportunity cost of producing the good in the domestic market. C. the exchange ratio is exactly equal to the opportunity cost of producing the good in each country. D. each country will specialize in the production of those goods in which it has an absolute advantage.
The Federal Reserve has:
A. made some booms and recessions worse rather than better. B. a good track record of only making booms and recessions better. C. made some recessions worse but generally makes booms better. D. made some booms worse but generally makes recessions better.