In the income-expenditure framework, if planned aggregate expenditures are less than real gross domestic product (GDP), _____

a. saving will increase
b. the price level will increase
c. inventories will increase
d. inventories will decrease
e. consumption will decrease

c

Economics

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Refer to Figure 17-3. Panel D is appropriate when used to represent

A) the quantity of labor demanded by an input price taker. B) the quantity of labor supplied by someone working a fixed number of hours. C) the labor supply curve facing an input price taker. D) the highly-skilled labor market supply curve.

Economics

The cross elasticity of demand for substitute products must:

a. be greater than one. b. be less than one. c. be zero. d. exceed zero. e. be negative.

Economics