List and describe the sources of spending in the economy by focusing on the four major sectors of the economy
What will be an ideal response?
The four major sources of spending in the economy include consumption spending, which is spending by households on durable and non-durable goods and services; gross private domestic investment, which includes spending on plant and equipment (by businesses), residential construction (by households), and inventories (by businesses); government consumption expenditures and gross investment; and net exports, i.e., the difference between export spending (by foreigners on domestically produced goods and services) and spending on imports (domestic spending on foreign-made goods and services).
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When applying the marginal principle, you should pick the level at which the activity's marginal benefit equals its marginal cost
Indicate whether the statement is true or false
Total utility can be determined by: a. summing the marginal utilities of each unit of a good consumed
b. multiplying the marginal utility of the last unit consumed by the number of units consumed. c. multiplying the marginal utility of the first unit consumed by the number of units consumed. d. multiplying the price of the good times the number of units consumed.