In the aggregate expenditures model, if aggregate expenditures (AE) are greater than GDP, then:
A. inventory is accumulated.
B. inventory is unchanged.
C. employment decreases.
D. employment increases.
Answer: D
Economics
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a. True b. False Indicate whether the statement is true or false
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Discuss how a single bank creates money. What is the limit to which a single bank can add to the money supply? By how much can an entire banking system add to the money supply?
What will be an ideal response?
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