The Equilibrium Level of Output in an Economy Is Determined

question 96

Multiple Choice

The equilibrium level of output in an economy is determined at the level where:

• A) planned aggregate government spending is equal to the investments made by private firms.
• B) planned aggregate exports is equal to the actual output of firms.
• C) planned aggregate investment is equal to the actual output of firms.
• D) planned aggregate expenditure is equal to the actual output of firms.

---

Definitions:

House

A structure serving as a dwelling for one or more persons, especially for a family.

True Lease

A lease agreement that qualifies as a genuine lease under applicable law, allowing the lessor to retain ownership and tax benefits of the leased asset.

Boarding House

A residence where individuals can rent rooms, often with shared facilities, typically including at least one meal a day.

Lease Expired

Marks the termination of a rental agreement or contract upon reaching its end date, after which the lessee must vacate the property unless a renewal agreement is made.