Exam 8: Aggregate Expenditure and Equilibrium Output

Refer to the information provided in Figure 8.12 below to answer the questions that follow. Figure 8.12 -Refer to Figure 8.12. Suppose the economy's aggregate expenditure line is AE₂. A $10 million increase in planned investment causes aggregate equilibrium output to increase to

Refer to the information provided in Figure 8.10 below to answer the questions that follow. Figure 8.10 -Refer to Figure 8.10. At an aggregate output level of $500 million, there is a

Refer to the information provided in Figure 8.9 below to answer the questions that follow. Figure 8.9 -Refer to Figure 8.9. At aggregate output level $300 million, there is a

Refer to the information provided in Figure 8.10 below to answer the questions that follow. Figure 8.10 -Refer to Figure 8.10. There is a $100 million unplanned decrease in inventories at an aggregate output level of

Refer to the information provided in Figure 8.1 below to answer the questions that follow. Figure 8.1 -Refer to Figure 8.1. The MPS for this household is ________ and the MPC is ________.

If you save $80 when you experience a $400 rise in your income,

Actual investment includes unplanned changes in inventory.

Assume that in Jabara, planned investment is $30 billion, but actual investment is $45 billion. Unplanned inventory investment is

Refer to the information provided in Figure 8.6 below to answer the questions that follow. Figure 8.6 -Refer to Figure 8.6. The MPS for this saving function is

Refer to the information provided in Figure 8.2 below to answer the questions that follow. Figure 8.2 -Refer to Figure 8.2. Suppose Jerry's MPC increases, and the vertical intercept of the consumption function does not change. At income Y₁, Jerry's

Refer to the information provided in Figure 8.6 below to answer the questions that follow. Figure 8.6 -Refer to Figure 8.6. On this graph, 0.1 represents this society's

If the MPS is 0.20, the MPC is

Refer to the information provided in Table 8.8 below to answer the questions that follow. Table 8.8 -Refer to Table 8.8. Which of the following statements is false?

In macroeconomics, the point at which planned aggregate expenditures equals aggregate output

Refer to the information provided in Figure 8.9 below to answer the questions that follow. Figure 8.9 -Refer to Figure 8.9. At aggregate output level $100 million, there is a

Refer to the information provided in Figure 8.12 below to answer the questions that follow. Figure 8.12 -Refer to Figure 8.12. What is the equation for aggregate expenditure AE₁?

If you earn additional $500 in disposable income one week for painting your neighbor's house,

Refer to the information provided in Figure 8.3 below to answer the questions that follow. Figure 8.3 -Refer to Figure 8.3. Which of the following statements is false?

Refer to the information provided in Figure 8.2 below to answer the questions that follow. Figure 8.2 -Refer to Figure 8.2. Negative saving is represented by the area

Refer to the information provided in Table 8.2 below to answer the questions that follow. Table 8.2 -Refer to Table 8.2. Assuming society's MPC is constant, at an aggregate income level of $900, aggregate consumption would be