If Planned Aggregate Expenditure Is Above Potential GDP and Planned

question 5

Multiple Choice

If planned aggregate expenditure is above potential GDP and planned aggregate expenditure equals GDP, then

• A)actual inventory investment will be less than planned inventory investment.
• B)actual inventory investment will be greater than planned inventory investment.
• C)the economy is in an expansion.
• D)the economy is at full employment.
• E)the economy is in a recession.

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Definitions:

Social Interaction

The way people relate to one another and influence each other's behavior within a social context.

Attention

The mental focus or concentration directed towards a specific object, task, or activity.

Impression Management

The process by which individuals attempt to control the perceptions of other people about themselves, usually by adapting their behavior or appearance.

Role Distancing

A concept that describes when individuals distance themselves from a role they are expected to play to avoid fully identifying with it.