Refer to the below table. Which statement is true if aggregate income (output) is 1000? Aggregate Output 200 All Figures in Billions of Dollars Aggregate Consumption 300 Planned Investment 100 400 450 100 600 600 100 800 750 100 1,000 900 100 There is an unplanned increase in inventories and output will subsequently decrease. There is an unplanned increase in inventories and output will subsequently increase. There is an planned decrease in inventories and output will subsequently decrease. There is neither an unplanned decrease nor an increase. Output will remain the same.

Refer to the below table. Which statement is true if aggregate income (output) is 1000? Aggregate Output 200 All Figures in Billions of Dollars Aggregate Consumption 300 Planned Investment 100 400 450 100 600 600 100 800 750 100 1,000 900 100 There is an unplanned increase in inventories and output will subsequently decrease. There is an unplanned increase in inventories and output will subsequently increase. There is an planned decrease in inventories and output will subsequently decrease. There is neither an unplanned decrease nor an increase. Output will remain the same.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

refer to figure 23.6. if aggregate income is $1,000, aggregate consumption is Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Real-Time Data Analysis Exercise The following table contains income and consumption data from FRED* for the fourth quarter of 2020. *Real-time data provided by Federal Reserve Economic Data (FRED), Federal Reserve Bank of Saint Louis. Title Value Personal Income $19.504.419 billion Disposable Personal Income $17.268.294 billion Personal Consumption Expenditures $14,542.383 billion Since personal consumption expenditures are exceeded by disposable income, the implication is that the fourth quarter of 2020 saw households engaged in saving investment both
You are an analyst at Heys International Luggage. Your output last year of Carbon-X luggage sets was 100,000 sets, based on estimates that sales would equal 100,000 at an average price of $56.84. Heys International tries to maintain inventory at 10,000 sets. Actual sales of the luggage last year were 105,000. Considering only this result: aggregate expenditure was equal to GDP. aggregate expenditure was less than GDP. aggregate expenditure was greater than GDP. aggregate expenditure is always equal to GDP, so these sales results are irrelevant. 2 of 25 > Яншират ИРИНАРИ
Desired Aggregate Expenditure (AE) 1000 650 325 0 FIGURE 22-3 Actual National Income (Y) 45° C = 350 + (0.68)Y C = 325+ (0.65)Y C = 1000 + (0.80)Y AE I+G I Refer to Figure 22-3. Which of the following correctly describes the consumption function for this economy?
What is the equilibrium level of
Use the figure below to answer the following questions. Aggregate Expenditure (billions of 2012 dollars) 400 360 320 280 240 200 160 120 80 80 40 45° line AE 0 40 80 120 160 200 240 280 320 360 400 Real GDP (billions of 2012 dollars) The economy depicted does not engage in international trade and has no government. Planned aggregate expenditure (AE) is equal to the sum of consumption expenditure (C) and investment (I). Investment is $ billion. If investment increases by $75 billion, then real GDP increases by $ billion.
TOPIC: Comparing total expenditures and total production
11:04 AM ECON 122 CAT ONE.docX Phoenix Files QUESTION ONE Is it desirable for a country to have a large gross domestic product? Explain (2 marks) QUESTION TWO You are given data on the following variables in an economy Government spending 300 Planned investment Net exports Autonomous taxes Income tax rate Marginal propensity to consume 0.5 a) Consumption (C) is 600 when income (Y) is equal to 1500. Solve for autonom ous consumption (2 ma rks) ii) 200 S 50 b) Solve for the equilibrium level of output in the following two scenarios: i) There is an income tax t=0.1, Edit 0.1 250 Q Search © | 46| 472 [ 66 c) In the economy with an income tax of 10%, what is the budget balance of the government? (2 marks) O X: × There is no income tax in the economy. Denote these two variables by Yw and YN respectively. (4 marks) d) Solve for the change in net exports that would bring the equilibrium output lev el in the economy with the income tax to the level of YN that you found in part b. specify both…
Refer to Table 1. The equation for the aggregate consumption function is C = 200 + 0.3Y. C = -200 + 0.2Y. C = 200 + 0.8Y. C = 200 + 0.75Y.
The following questions refer to this table:
3. If the current equilibrium GDP value is $925,000 and investment spending decreases by $25,000 with an MPC of 0.8, solve for the new equilibrium GDP.
Select the correct one.