Consumption spending is $16 million, planned investment spending is $4 million, unplanned investment spending is $2 million, government purchases are $6 million, and net export spending is $1 million. What is aggregate expenditure?

Assume that the government decides to use fiscal or monetary policy to stimulate the economy and that this action comes as a surprise to most individuals and businesses. In the short run, the result will be

A) an increase in aggregate demand and a fall in the price level. B) a decrease in aggregated demand and a rise in the price level. C) a decrease in the average duration of unemployment and a decrease in the unemployment rate. D) an increase in the average duration of unemployment and an increase in the unemployment rate.

The goal of fiscal policy after the Great Depression was to: a. balance federal budget

b. manipulate aggregate demand and supply to fight unemployment. c. influence aggregate demand. d. influence aggregate supply. e. push the aggregate demand and supply curves to the right.