If Saving Exceeds Investment, Then the Level of GDP Will

question 101

Multiple Choice

If saving exceeds investment, then the level of GDP will

• A)increase.
• B)remain constant.
• C)decrease.
• D)rise above potential GDP.

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Definitions:

Negative

A value less than zero or a direction opposite to the expected or common.

Variance

A measure of the dispersion of a set of data points around their mean, indicating how spread out the data points are.

Sample Size

The number of observations or individuals in a subset of a population used for statistical analysis.

Random Sample

A subset of individuals chosen from a larger set, where each individual has an equal chance of being selected.