The above table gives real GDP and the aggregate expenditure schedule. When real GDP is $10 billion, the amount of unplanned investment is
A) $0.5 billion.
B) -$20.5 billion.
C) -$0.5 billion.
D) $20.5 billion.
E) unknown.
C
Economics
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Joseph starts driving with much less care after buying car insurance. His behavior is an example of ________
A) moral hazard B) a domino effect C) adverse selection D) herd behavior
Economics
The equilibrium interest rate:
A. allocates the available supply of loanable funds to investment projects that have high enough rates of return to justify the borrowing. B. rises when the supply of loanable funds increases. C. is the price paid for the use of any resource. D. affects the size of total output but not the composition of that output.
Economics