Consider a Closed Economy Described by AE (Aggregate Expenditures)= 800

question 90

Multiple Choice

Consider a closed economy described by AE (aggregate expenditures) = 800, 000 + 0.75Y Assume that this economy is initially in equilibrium.But now the government implements a program to improve highways that will cost $1 million.This implies that equilibrium real GDP will:

• A)decrease by $1 million.
• B)decrease by $4 million.
• C)increase by $1 million.
• D)increase by $4 million.
• E)decrease by $800, 000.

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Definitions:

Organizational Cultures

The shared values, beliefs, norms, and practices that shape the social and psychological environment of an organization, influencing its members' behavior and attitudes.

Assimilation

The process by which individuals or groups of different backgrounds come to adopt the culture, beliefs, and practices of a larger community or society.

Organizational Culture

The shared values, beliefs, and practices of an organization's members that shape its social and psychological environment.

Tangible Assets

Physical and material assets owned by a company, such as buildings, machinery, and inventory, which have a defined monetary value and can be physically touched.