If Aggregate Planned Expenditure Exceeds Real GDP

question 466

Multiple Choice

If aggregate planned expenditure exceeds real GDP

• A) firms are not maximizing their profits.
• B) planned investment is greater than planned saving.
• C) actual inventories decrease below their target.
• D) planned consumption expenditure is less than actual consumption expenditure.

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Definitions:

Indigenous People

Ethnic groups who are the original inhabitants of a given region, maintaining traditions or other aspects of an early culture that is associated with a given region.

Colourblindness

A visual deficiency where an individual's perception of colors is limited or distorted, or a metaphorical reference to an approach of ignoring racial and ethnic differences supposedly promoting equality.

Injustices

Situations or actions that violate principles of fairness, morality, or legally established rights, often leading to discrimination or oppression.

Residential Schools

Schools established to integrate Indigenous children into mainstream society, frequently involving the forced removal from their communities and suppression of their cultural practices.