Exhibit 9-3 Keynesian Aggregate Expenditures Model

question 98

Multiple Choice

Exhibit 9-3 Keynesian aggregate expenditures model
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As shown in Exhibit 9-3, if GDP is $6 trillion, the economy experiences unplanned inventory:

• A) depletion of $2 trillion.
• B) depletion of $6 trillion.
• C) accumulation of $2 trillion.
• D) accumulation of $6 trillion.

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Definitions:

Thoracic Expansion

The ability of the chest area to increase in volume, allowing for inhalation of air into the lungs.

Respiratory Acidosis

A condition where the lungs cannot remove enough carbon dioxide produced by the body, leading to a disturbance in the body's acid-base balance.

Carbon Dioxide Retention

A condition in which the lungs are unable to effectively expel carbon dioxide, leading to increased levels in the blood.

Cardiac Output

The volume of blood the heart pumps through the circulatory system in one minute, an important measure of heart function.