Consider the Following Aggregate Expenditure Function: AE = $300 Billion

question 26

Multiple Choice

Consider the following aggregate expenditure function: AE = $300 billion + (0.87) Y.Assuming that we have no government,no international trade and desired investment is autonomous and is equal to $56 billion,then which of the following is the correct statement of the consumption function?

• A)C = $356 billion + (0.87)Y
• B)C = $356 billion + (0.13)Y
• C)C = $244 billion + (0.87)Y
• D)C = $244 billion + (0.13)Y
• E)C = $300 billion + (0.13)Y

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Definitions:

DNA Replicates

The process by which a cell copies its DNA prior to cell division, ensuring that each new cell receives a complete set of genetic information.

Chromosomes

Thread-like structures located inside the nucleus of animal and plant cells, made of protein and a single molecule of DNA, which carries genetic information.

DNA

A molecule known as deoxyribonucleic acid, it is crucial for conveying genetic guidelines necessary for the growth, maturation, function, and reproduction of every known living organism and a wide array of viruses.

Nucleus

An organelle found in eukaryotic cells that contains most of the cell's genetic material.