Which Is the Largest Component of Aggregate Expenditure

question 254

Multiple Choice

Which is the largest component of aggregate expenditure?

• A)planned investment expenditures
• B)consumption expenditures
• C)government expenditures
• D)net export expenditures

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Definitions:

Human Capital

Competencies, wisdom, and learning acquired by an individual or collective, evaluated for their financial or beneficial impact on an enterprise or sovereign state.

Compensating Differential

Additional income or benefits offered to employees to offset the unpleasant aspects or higher risks of a particular job.

Transfer Payments

Payments made by the government to individuals without any expectation of goods or services in return, such as welfare or social security.

Redistribution Programs

Government policies designed to redistribute income and wealth from wealthier segments of society to poorer ones, often through taxation, welfare, and public services.