If Planned Aggregate Expenditure in an Economy Can Be Written

question 109

Multiple Choice

If planned aggregate expenditure in an economy can be written as: PAE = 5,000 + 0.6Y,what is the short-run equilibrium level of output in this economy?

• A) 5,000.
• B) 5,800.
• C) 9,000.
• D) 12,500.
• E) 25,000.

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Definitions:

Journal Entry

A record of a transaction in the accounting journal that details which accounts are affected and in what way.

Payment Promise

A commitment by one party to pay another, often documented in a formal agreement or note.

Common Stock

A type of security that represents ownership in a corporation, entitling holders to a share of the company’s profits through dividends and/or capital appreciation.

Photography Equipment

Tools and devices used in the process of capturing photographs, such as cameras, lenses, lighting, and accessories.