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If, at Some Level of Output, Total Planned Real Expenditures

Question 39

Multiple Choice

If, at some level of output, total planned real expenditures are less than real Gross Domestic Product (GDP)


A) real GDP will rise.
B) real GDP remains unchanged.
C) real GDP will either fall or remain unchanged, depending on the MPC.
D) unplanned inventories will increase and real GDP will fall.

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