Multiple Choice
When aggregate expenditure is more than GDP,which of the following is true?
A) There was an unplanned decrease in inventories.
B) Firms spent less on capital goods than they planned.
C) Households bought fewer new homes than they planned.
D) All of the above must be true when aggregate expenditure is more than GDP.
Correct Answer:

Verified
Correct Answer:
Verified
Q161: The marginal propensity to consume is defined
Q162: U.S.net export spending rises when<br>A)the price level
Q163: Into which category of aggregate expenditure would
Q164: If planned aggregate expenditure is above potential
Q165: Table 12-13<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1236/.jpg" alt="Table 12-13
Q167: When Jack's income increases by $1,000,he spends
Q168: What is the difference between aggregate expenditure
Q169: The five most important variables that determine
Q170: The difference between GDP and net taxes
Q171: If economists forecast a decrease in aggregate