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Author Question: When real GDP exceeds aggregate planned expenditure A) an unplanned increase in inventories ... (Read 114 times)

Charlie

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on: Jun 29, 2018
When real GDP exceeds aggregate planned expenditure
 
  A) an unplanned increase in inventories occurs.
  B) real GDP remains at its equilibrium.
  C) real GDP increases.
  D) firms increase production.
  E) an unplanned decrease in inventories occurs.

Question 2

If aggregate planned expenditures are less than real GDP, then
 
  A) inventories increase above their planned levels and businesses increase their production.
  B) unplanned inventory changes equal zero.
  C) inventories decrease below their planned levels and businesses increase their production.
  D) inventories increase above their planned levels and businesses decrease their production.
  E) there is no equilibrium level of real GDP.


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CharlieArnold

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

A

Answer to Question 2

D


Charlie

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Reply 2 on: Jun 29, 2018
Gracias!

steff9894

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Reply 3 on: Yesterday
Wow, this really help

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