If Net Exports Decline from Zero to Some Negative Amount

question 54

Multiple Choice

If net exports decline from zero to some negative amount, the aggregate expenditures schedule would

• A) shift upward.
• B) shift downward.
• C) not move. (Net exports do not affect aggregate expenditures.)
• D) become steeper.

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Definitions:

Beginning Work in Process

The value of goods that are in the production process at the start of an accounting period.

Ending Work in Process

The inventory that is still in the production process at the end of an accounting period, not yet ready for sale.

Total Units

The complete count of individual items or goods that are present in a given context or produced by a process.

Units Started

The number of units of production that have begun the manufacturing process within a period.