Consumption Spending Is $22 Million,planned Investment Spending Is $7 Million,actual

question 94

Multiple Choice

Consumption spending is $22 million,planned investment spending is $7 million,actual investment spending is $7 million,government purchases are $9 million,and net export spending is $3 million.Based on this information,which of the following is true?

• A)There was an unplanned change in inventories.
• B)Aggregate expenditure is equal to GDP.
• C)Aggregate expenditure is greater than GDP.
• D)Aggregate expenditure is less than GDP.

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Definitions:

Islamic Middle East

Refers to regions in the Middle East where Islam is the dominant religion, influencing culture, law, and daily life.

Industrialized World

Countries that have experienced significant industrial growth and development, characterized by high levels of production and technological advancement.

Great Recession

A significant worldwide economic downturn that began in 2007 and lasted until 2009, marked by high unemployment and severe financial instability.

Gross Private Investment

The total amount of investment in the economy by private sector entities, including investments in equipment, structures, and inventory changes.