As a Component of Aggregate Demand, Government Spending

question 8

Multiple Choice

As a component of aggregate demand, government spending

• A)includes government purchases of goods and services, transfers, and interest on the national debt.
• B)is the largest component.
• C)is the most volatile component of aggregate demand.
• D)includes only government purchases of goods and services.

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Definitions:

Mg

A chemical element with the symbol Mg and atomic number 12, known as magnesium, which is a shiny gray solid and plays important roles in the human body.

Ml

A milliliter is a metric system volume unit that is equal to 1/1000th of a liter.

Gram

A unit of measurement for mass that is exactly one thousandth part of a kilogram.

Basic Unit

The fundamental, smallest, or simplest quantity or component in a system or set of measurements often used as a standard of measurement.