Suppose that an economy consists of only two individuals. Trevor has $1870 available to spend on goods. He decides to purchase $150 worth of produce from Charlotte in the current year. No other economic activity takes place during the current year. Using this information, answer the questions. For the current year, what is the economy's income? For the current year, what is the economy's expenditure? In an economy, how are income and expenditure related? Income is less than expenditure. They are equal. Income is greater than expenditure. %24 %24
Suppose that an economy consists of only two individuals. Trevor has $1870 available to spend on goods. He decides to purchase $150 worth of produce from Charlotte in the current year. No other economic activity takes place during the current year. Using this information, answer the questions. For the current year, what is the economy's income? For the current year, what is the economy's expenditure? In an economy, how are income and expenditure related? Income is less than expenditure. They are equal. Income is greater than expenditure. %24 %24
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:stion 10 of 13 >
Suppose that an economy consists of only two individuals. Trevor has $1870 available to spend on goods. He decides to
purchase $150 worth of produce from Charlotte in the current year. No other economic activity takes place during the current
year. Using this information, answer the questions.
For the current year, what is the economy's income?
For the current year, what is the economy's expenditure?
In an economy, how are income and expenditure related?
Income is less than expenditure,
O They are equal.
Income is greater than expenditure.
%24
%24
Transcribed Image Text:on 10 of 13
For the current year, what is the economy's income?
For the current year, what is the economy's expenditure?
In an economy, how are income and expenditure related?
Income is less than expenditure.
They are equal.
O Income is greater than expenditure.
O They are unrelated.
%24
%24
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