Author Question: The total expenditure on goods and services in a country must be the same as the total income earned ... (Read 105 times)

Caiter2013 · **on:** Jun 30, 2018

The total expenditure on goods and services in a country must be the same as the total income earned from selling goods and services because:
a. the government's annual budget has to balance.
b. net exports in an economy is usually zero.
c. one sector's expenditures are another sector's income.
d. total investment in an economy always equals total saving.
e. the sum of consumption spending and saving is zero.

Question 2

The stock of unused goods held by a firm is called a(n):
a. depreciation.
b. supplement.
c. deadweight loss.
d. excess capacity.
e. inventory.