If the Equation for Planned Aggregate Expenditure Is Given by PAE

question 130

Multiple Choice

If the equation for planned aggregate expenditure is given by PAE = 5,000 + 0.9Y and potential output is equal to 48,000,then there is a(n) ________ gap equal to ________ units,so if net exports ________ by ________,the economy will return to potential output.

• A) expansionary;2,000;decrease;200
• B) expansionary;200;decrease;20
• C) expansionary;5,000;increase;1,000
• D) recessionary;2,000;increase;200
• E) recessionary;200;increase;20

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Definitions:

Bipolar Disorder

A mental disorder marked by alternating periods of elation and depression.

Bipolar Disorder

A mental health condition marked by extreme mood swings, including emotional highs (mania or hypomania) and lows (depression).

Mood Stabilize

The process of using medication or therapy to keep mood levels within a normal range, especially in individuals with mood disorders.

Manic Episodes

Periods of extremely elevated mood, energy, and activity levels that are characteristic of bipolar disorder.