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Author Question: What are the four categories of aggregate expenditure? What will be an ideal ... (Read 86 times)

michelleunicorn

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on: Jun 29, 2018
What are the four categories of aggregate expenditure?
 
  What will be an ideal response?

Question 2

Which of the following best describes how banks create money?
 
  A) Banks charge higher interest rates on loans than they pay on deposits.
  B) Banks charge fees for providing financial advice.
  C) Banks make loans from reserves.
  D) Banks create checking account deposits when making loans from excess reserves.


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Ahernandez18

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Reply #1 on: Jun 29, 2018
Answer to Question 1

The four categories are consumption spending, planned investment spending, government purchases, and net exports.

Answer to Question 2

D


michelleunicorn

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Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

sultansheikh

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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