In the Simplest Macroeconomic Model,with a Closed Economy and No

question 86

Multiple Choice

In the simplest macroeconomic model,with a closed economy and no government,the aggregate expenditure (AE) function is the sum of

• A)saving and desired investment.
• B)consumption and disposable income.
• C)desired consumption and desired investment.
• D)consumption and saving.
• E)actual consumption and actual investment.

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Definitions:

Water Pollution

The contamination of water bodies such as lakes, rivers, oceans, and groundwater caused by harmful substances or heat, which degrades water quality and adversely affects aquatic ecosystems and human health.

Environmental Impact Statement

A document required for projects that may significantly affect the environment, detailing the potential impacts and mitigating strategies.

National Environmental Policy Act

A U.S. environmental law that promotes the enhancement of the environment and established the President's Council on Environmental Quality.

Emission Trading Scheme

A market-based approach to control pollution by providing economic incentives for achieving reductions in the emissions of pollutants.