In a Private Closed Economy, When Aggregate Expenditures Equal GDP

question 116

Multiple Choice

In a private closed economy, when aggregate expenditures equal GDP,

• A) consumption equals investment.
• B) consumption equals aggregate expenditures.
• C) planned investment equals saving.
• D) disposable income equals consumption minus saving.

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Definitions:

Malleus

A small bone in the middle ear that is attached to the eardrum; also called the hammer.

Incus

A small bone in the middle ear, located between the malleus and the stapes; also called the anvil.

Axial Skeleton

The part of the skeleton that consists of the bones of the head and trunk of a vertebrate.