Multiple Choice
When PAE < Y the economic response for inventories should be:
A) inventories will increase.
B) inventories will decrease.
C) there will be no change in inventories.
D) inventories should decrease initially and then sharply increase.
Correct Answer:
Verified
Correct Answer:
Verified
Q6: The effect of government spending or tax
Q42: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6625/.jpg" alt=" Using Figure 3
Q44: If the government wishes to increase GDP
Q45: When we compare PAE and actual output
Q46: Net Exports are defined to be:<br>A) Imports
Q48: The tastes for foreign goods and services
Q49: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6625/.jpg" alt=" In Figure 1
Q50: Which component of consumption has a negative
Q51: The simplified spending multiplier is calculated as:<br>A)
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