Which of the Following Equations Is True of Aggregate Demand

question 29

Multiple Choice

Which of the following equations is true of aggregate demand?

• A)Aggregate demand = consumption + investment - government spending - net exports
• B)Aggregate demand = consumption - investment - government spending - net exports
• C)Aggregate demand = consumption + investment + government spending + net exports
• D)Aggregate demand = consumption - investment + government spending + net exports

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Definitions:

Superego

In psychoanalytic theory, the part of the personality that represents internalized ideals, morals, and conscience, guiding behavior in accordance with societal norms.

Unconscious

A part of the mind that houses desires, memories, and thoughts not within the awareness of the conscious mind.

Rationally Directed

Actions or decisions guided by logical reasoning and systematic analysis of available information, as opposed to those based on emotion or intuition.

Secondary-Process Thinking

A mature type of thinking that operates within the boundaries of logic and reality, in contrast to primary-process thinking which is more primitive and pleasure-oriented.