Author Question: If total planned expenditures exceed real GDP, the economy will contract, causing production of ... (Read 92 times)

madam-professor · **on:** Jun 30, 2018

If total planned expenditures exceed real GDP, the economy will contract, causing production of goods and services to decrease and unplanned inventories to rise.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Which of the following events would cause an upward movement along the demand curve for olives?
a. The number of people who purchase olives decreases.
b. Consumer income decreases, and olives are a normal good.
c. The price of pickles decreases, and pickles are a substitute for olives.
d. The price of olives rises.