If Aggregate Planned Expenditure Is Less Than Real GDP

question 244

Multiple Choice

If aggregate planned expenditure is less than real GDP,

• A) real GDP remain unchanged.
• B) real GDP will either decrease or increase, depending on the MPC.
• C) inventories will increase above their target level and real GDP will decrease.
• D) real GDP will increase.

---

Definitions:

Diagnostic Systems

Structured methods used in healthcare and psychology to identify and classify diseases, disorders, and conditions based on symptoms and signs.

Reliability

The degree to which an assessment tool produces stable and consistent results over time.

Types of Reliability

Different ways of measuring the consistency of a test or research findings, including test-retest, inter-rater, and internal consistency reliability.

Diagnostic and Statistical Manual of Mental Disorders

A manual published by the American Psychiatric Association that provides a comprehensive classification and criteria for diagnosing mental disorders.