If Aggregate Planned Expenditure Exceeds Real GDP, Then

question 310

Multiple Choice

If aggregate planned expenditure exceeds real GDP, then

• A) unplanned inventory changes are positive.
• B) unplanned inventory changes are negative.
• C) aggregate planned expenditure must decrease to restore the equilibrium.
• D) real GDP will decrease.
• E) planned inventory changes must be negative.

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Definitions:

Planning

A process involving the setting of goals, developing strategies to achieve those goals, and outlining tasks and schedules to implement the strategies.

Action Orientations

An individual's or organization's propensity to take initiative, make decisions, and execute plans effectively and efficiently.

Results Oriented

An approach or mindset that focuses on achieving specific outcomes or goals, often emphasizing the end result over the process used to achieve it.

Time Management

The process of organizing and planning how to divide your time between specific activities to increase effectiveness, efficiency, and productivity.