Author Question: In the aggregate expenditures model, if aggregate expenditures (AE) are less than GDP, then GDP ... (Read 86 times)

kamilo84 · **on:** Jun 30, 2018

In the aggregate expenditures model, if aggregate expenditures (AE) are less than GDP, then GDP decreases.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Describe the functions of the Federal Reserve System.

jgranad15 · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

True

Answer to Question 2

The Fed's functions include (1) controlling the money supply, (2) clearing checks, (3) supervising and regulating banks, (4) maintaining and circulating currency, (5) protecting consumers, and (6) maintaining federal government checking accounts and gold reserves.