Discuss the components of GDP using the expenditure ...

[shofmannx20]

Discuss the components of GDP using the expenditure approach.

Question 2

In the aggregate demand and supply model, the:
 a. aggregate supply curve is horizontal at full-employment real GDP.
  b. vertical axis measures real GDP.
  c. vertical axis measures the average price level.
  d. All of these.
  e. None of these.

[Anna]

Answer to Question 1

GDP equals consumption spending plus investment spending plus government spending plus net exports; GDP = C + I + G + (X  M).

Answer to Question 2

c

[shofmannx20]

YES! Correct, THANKS for helping me on my review

[phuda]

Thanks for the timely response, appreciate it