Suppose the Equilibrium Level of Expenditure Is $1,200

question 125

Multiple Choice

Suppose the equilibrium level of expenditure is $1,200. If real GDP is $1,400, then planned expenditures

• A) are equal to real GDP, and there will be no change in real GDP.
• B) are less than real GDP, and real GDP will increase.
• C) exceed real GDP, and real GDP will increase.
• D) are less than real GDP, and real GDP will decrease.

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Definitions:

Incompetents

Individuals who are legally declared unable to manage their own affairs due to mental incapacity, age, or other reasons, requiring a guardian or conservator.

Intoxicated Persons

Intoxicated persons are those under the influence of alcohol or drugs to a degree that impairs their ability and judgement, impacting their legal capacity in certain contexts.

Intoxicated

Being intoxicated refers to a state of impairment due to the consumption of alcohol or drugs, affecting a person's mental faculties and physical coordination.

Unable

Lacking the skill, means, or opportunity to do something.