If Planned Aggregate Expenditure Is Below Potential GDP and Planned

question 303

Multiple Choice

If planned aggregate expenditure is below 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 a recession.
• D)the economy is at full employment.

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Definitions:

Optimizing Productivity

The process of making the best or most effective use of resources to maximize output or efficiency.

Drowsy

A state of feeling abnormally sleepy or tired, often leading to a decline in alertness and performance.

Social Worker

A professional who supports individuals, families, and groups to cope with challenges and enhance their well-being through a range of services, including counseling and advocacy.

Researcher

An individual who conducts systematic investigation into a study area to establish facts, principles, or to reach new conclusions.