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    Exam 9: The Keynesian Model in Action
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    In the Aggregate Expenditures Model, If Aggregate Expenditures (AE)are Less
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In the Aggregate Expenditures Model, If Aggregate Expenditures (AE)are Less

Question 105

Question 105

Multiple Choice

In the aggregate expenditures model, if aggregate expenditures (AE) are less than GDP, then:


A) inventory is unchanged.
B) inventory is depleted.
C) employment increases.
D) GDP decreases.

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