If Aggregate Expenditures Exceed the Domestic Output in a Private

question 80

Multiple Choice

If aggregate expenditures exceed the domestic output in a private closed economy:

• A)leakages will exceed injections.
• B)planned investment will exceed saving.
• C)unplanned investment in inventories will occur.
• D)saving will exceed planned investment.

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Definitions:

Vietnam War

A prolonged conflict (1955-1975) between Communist forces in North Vietnam and non-Communist forces in South Vietnam, with heavy involvement and support from the United States to the South Vietnamese government.

United States

A country in North America founded in 1776, known for its diverse population and as a leading global economic and military power.

Lose

To be unsuccessful in retaining possession or winning; the opposite of winning or finding.

Vietnam War

A prolonged conflict (1955-1975) between Communist forces in North Vietnam and the Republic of Vietnam in the South, along with its principal ally, the United States.