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The Figure Shows Planned Aggregate Expenditure and Output for an Economy

Question 133

Multiple Choice

The figure shows planned aggregate expenditure and output for an economy. The figure shows planned aggregate expenditure and output for an economy. If output in this economy is Y<sub>3</sub>, we would expect there to be _______ in production because PAE is _______ actual output. A) an increase; less than B) an increase; greater than C) no change; equal to D) a decrease; less than If output in this economy is Y3, we would expect there to be _______ in production because PAE is _______ actual output.


A) an increase; less than
B) an increase; greater than
C) no change; equal to
D) a decrease; less than

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