Total Expenditure Equals Total Income

question 24

Multiple Choice

Total expenditure equals total income

• A)if firms earn zero profit.
• B)if firms do not save for future investment.
• C)because firms pay out everything they receive as income to the factors of production.
• D)only if net taxes equals government expenditures on goods and services.
• E)only if firms sell all the goods they produce in a given time period.

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Definitions:

Cognitive Abilities

The mental capabilities that involve the process of thinking, understanding, learning, and remembering.

Sensory Input

Information received by the sensory organs, such as eyes and ears, that is then processed by the brain.

Elaborative Strategy

A cognitive technique involving the expansion of information by linking it to existing knowledge, enhancing memory and learning.

Sternberg's Inteligences

Refers to Robert Sternberg's Triarchic Theory of Intelligence, which defines intelligence in terms of analytical, creative, and practical components.