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    Exam 21: The Simplest Short-Run Macro Model
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    FIGURE 21-3 Refer to Figure 21-3
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FIGURE 21-3 Refer to Figure 21-3

Question 134

Question 134

Multiple Choice

  FIGURE 21-3 Refer to Figure 21-3.Assuming AE<sub>0</sub> is the prevailing aggregate expenditure function,the distance 0A is a measure of A) aggregate expenditure at equilibrium national income. B) autonomous desired expenditures. C) induced expenditures. D) desired saving. E) desired investment. FIGURE 21-3 Refer to Figure 21-3.Assuming AE0 is the prevailing aggregate expenditure function,the distance 0A is a measure of


A) aggregate expenditure at equilibrium national income.
B) autonomous desired expenditures.
C) induced expenditures.
D) desired saving.
E) desired investment.

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