In the Short-Run Macro Model,equilibrium Occurs When

question 82

Multiple Choice

In the short-run macro model,equilibrium occurs when

• A) all of the following conditions are satisfied
• B) the unintended change in inventories is zero
• C) total sales equals output
• D) the aggregate expenditure line intersects the 45-degree line
• E) GDP equals aggregate expenditure

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Definitions:

Inverse Relationship

A correlation between two variables in which one variable increases as the other decreases, and vice versa.

Correlation Coefficient

A statistical measure that indicates the extent to which two variables fluctuate together.

Statistical Measure

A quantifiable value representing a summary or characteristic of a set of data, used in analyzing or interpreting data.

Normal Curve

A symmetrical, bell-shaped curve that represents the distribution of many types of data where most scores fall near the mean, with fewer and fewer near the extremes.