« previous next »

Author Question: If some non-price level determinant causes total spending to increase, then the effect on aggregate ... (Read 14 times)

littleanan

  • Hero Member
  • *****
  • Posts: 575
on: Jun 30, 2018
If some non-price level determinant causes total spending to increase, then the effect on aggregate demand will be a:
 a. movement upward along the curve.
 b. movement downward along the curve.
  c. shift to the left.
 d. shift to the right.

Question 2

Suppose an economy operates at a real GDP level of 855, where saving = 400; investment = 95; government spending = 365; taxes = 130; imports = 210; exports = 170 . Which of the following statements is true in the light of the given information?
 a. Aggregate expenditures will fall, because total injections exceed total leakages by 110.
  b. Real GDP will increase, because total injections are less than 855.
  c. The economy will be in equilibrium, because leakages equal injections.
  d. Real GDP will fall, because total leakages exceed total injections by 110.
  e. Inventories will rise, because planned saving exceeds planned investment.


k.lashomb

  • Sr. Member
  • ****
  • Posts: 346
Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

d


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

It is difficult to obtain enough calcium without consuming milk or other dairy foods.

Did you know?

To maintain good kidney function, you should drink at least 3 quarts of water daily. Water dilutes urine and helps prevent concentrations of salts and minerals that can lead to kidney stone formation. Chronic dehydration is a major contributor to the development of kidney stones.

Did you know?

Astigmatism is the most common vision problem. It may accompany nearsightedness or farsightedness. It is usually caused by an irregularly shaped cornea, but sometimes it is the result of an irregularly shaped lens. Either type can be corrected by eyeglasses, contact lenses, or refractive surgery.

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

A person with a defective "P" gene might only have it effect the Hair A person with a defective "P" gene might only have it effect the Hair
The age-related increase in spirituality is different for two cohorts born seven years apart. The ... The age-related increase in spirituality is different for two cohorts born seven years apart. The ...
Drive-on ramps are dangerous to use. The wheels on the ground level must be chocked (blocked) to ... Drive-on ramps are dangerous to use. The wheels on the ground level must be chocked (blocked) to ...
Total Fertility Rate in the United States, 1860–2008 Total Fertility Rate in the United States, 1860–2008
World Mean Sea-Level Temperatures in January World Mean Sea-Level Temperatures in January
The effect of selection on allele frequency The effect of selection on allele frequency
Video: Ventilation - phases and driving forces

For a complete list of videos, visit our video library