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Use the following to answer questions .
Exhibit: Aggregate Expenditures and Real GDP 1 Use the following to answer questions . Exhibit: Aggregate Expenditures and Real GDP 1   -(Exhibit: Aggregate Expenditures and Real GDP 1)  Let Y = real GDP, AE = Aggregate Expenditures, C = Consumption, I<sub>P</sub> = Planned Investment. Suppose AE = C + I<sub>P</sub>, and I<sub>P</sub> is autonomous. If the level of real GDP equals $5,000 billion, and if there are no changes in the consumption function or in planned investment, then we can expect that, in the next period, real GDP will A)  rise. B)  remain unchanged. C)  fall. D)  fall, but only if there is an offsetting change in autonomous consumption.
-(Exhibit: Aggregate Expenditures and Real GDP 1) Let Y = real GDP, AE = Aggregate Expenditures, C = Consumption, IP = Planned Investment. Suppose AE = C + IP, and IP is autonomous. If the level of real GDP equals $5,000 billion, and if there are no changes in the consumption function or in planned investment, then we can expect that, in the next period, real GDP will

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Definitions:

Stimulus

A change in the environment that influences or causes a response in an organism.

Minimum Intensity

The lowest level of stimulus intensity that is necessary to produce a perceptible sensation or response in the observer.

Backward Messages

A message recorded backward onto a track that is meant to be played forwards; often associated with subliminal or hidden messages in audio recordings.

Rock Records

Hard, solid materials of the earth's surface, containing a record of the planet's geological history.

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