Author Question: If aggregate planned expenditure exceeds real GDP, then A) unplanned inventory changes are ... (Read 71 times)

asmith134 · **on:** Jun 29, 2018

If aggregate planned expenditure exceeds real GDP, then

A) unplanned inventory changes are positive.
B) real GDP will decrease.
C) aggregate planned expenditure must decrease to restore the equilibrium.
D) planned inventory changes must be negative.
E) unplanned inventory changes are negative.

Question 2

Consider the market for peanut butter. If there is an increase in the price of peanuts,

A) there is a decrease in the supply of peanuts.
B) there is a decrease in the demand for peanut butter.
C) there is an upward movement along the supply curve for peanut butter.
D) there is a decrease in the supply of peanut butter.
E) the supply curve for peanuts shifts rightward.