Supposed Actual Investment Is Greater Than Planned Investment at the Current

question 432

Multiple Choice

Supposed actual investment is greater than planned investment at the current level of output in a given year. Given this information, we know that

• A) GDP will tend to increase over time.
• B) firms' stock of inventories must have increased unexpectedly in that year.
• C) saving must be less than planned investment in that year.
• D) saving must be equal to planned investment in that year.

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Definitions:

Tympanic Membrane

A thin membrane that separates the external ear from the middle ear, also known as the eardrum, which vibrates in response to sound waves.

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Reduced mobility or movement of a joint or body part.

Startle

A quick, involuntary reaction or movement in response to a sudden, unexpected stimulus.