Refer to Figure 9.1 for the Following Questions

question 121

Multiple Choice

Refer to Figure 9.1 for the following questions.
Figure 9.1

-In Figure 9.1, if the economy is at a level of aggregate expenditure given by point K:

• A)the economy is in equilibrium.
• B)production is greater than spending.
• C)production is less than spending.
• D)inventories will increase above their desired level.

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Definitions:

Lord Dunmore

Lord Dunmore, also known as John Murray, was a British colonial governor who issued a proclamation in 1775 offering freedom to enslaved Africans who joined the British forces against the American revolutionaries.

Southerners

Refers to inhabitants of the Southern United States, historically associated with specific cultural, social, and economic traits.

Thomas Paine

An influential English-born writer and philosopher known for his works "Common Sense" and "The American Crisis," which advocated for American independence.