If Aggregate Expenditures Equal $800 Billion and Real GDP Equals

question 78

Multiple Choice

If aggregate expenditures equal $800 billion and real GDP equals $600 billion:

• A) unplanned inventory accumulation equals $200 billion.
• B) unplanned inventory accumulation equals -$200 billion.
• C) consumption plus investment equals $200 billion.
• D) actual investment equals -$200 billion.

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Definitions:

Glycogen

A multibranched polysaccharide of glucose that serves as a form of energy storage in animals and fungi.

Glucose

A simple sugar that is an important source of energy for cells and the primary form of sugar transported in the blood.

HCl

Hydrochloric acid, a strong acid formed by the solution of hydrogen chloride in water, which is a major component of gastric acid in the digestive system.

Digestion

Digestion is the process by which food is broken down in the gastrointestinal tract into nutrients that can be absorbed and utilized by the body.