-The Above Table Gives Data for the Nation of Mouseville

question 94

Multiple Choice

-The above table gives data for the nation of Mouseville. There are no imports into or exports from Mouseville. Aggregate planned expenditure is less than actual expenditure if real GDP is

• A) less than $800 billion.
• B) more than $800 billion.
• C) less than $700 billion.
• D) $800 billion.
• E) more than $700 billion.

---

Definitions:

Barriers To Entry

Obstacles that prevent or hinder new competitors from easily entering an industry or area of business.

Long Run

A period of time in economics during which all factors of production and costs are variable, allowing for all possible adjustments, including changes in industry size.

Natural Monopoly

A market structure where a single firm can produce the entire market supply of a particular good or service at a lower cost than any potential competitor.

Network Effects

Network effects occur when the value of a product or service increases as more people use it, making it more attractive and beneficial to users.