FIGURE 21-3 -Refer to Figure 21-3.Assuming AE₀ Is the Prevailing Aggregate Expenditure

question 152

Multiple Choice

FIGURE 21-3
-Refer to Figure 21-3.Assuming AE₀ is the prevailing aggregate expenditure function,at a level of national income equal to Y₃ we can state that

• A)consumption is greater than desired aggregate expenditure.
• B)consumption is less than desired aggregate expenditure.
• C)desired aggregate expenditure is greater than output.
• D)desired aggregate expenditure is less than output.
• E)desired saving is less than zero.

---

Definitions:

Washington

The capital city of the United States, located in the District of Columbia, or a state in the Pacific Northwest region of the United States.

Montana

A state located in the Northwestern United States, known for its varied terrain ranging from the Rocky Mountains to the Great Plains.

Voluntary Statewide Certification

A non-mandatory credentialing process within a state that recognizes an individual’s qualifications in a certain profession.

Paralegals

Trained legal assistants who perform various legal tasks and support lawyers in delivering legal services.