What is equilibrium expenditure? How is equilibrium expenditure determined? Equilibrium expenditure is the level of aggregate expenditure that occurs when O A. inventory holdings are minimized OB. aggregate planned expenditure equals real GDP O C. real GDP is maximized D. aggregate planned expenditure is maximized
What is equilibrium expenditure? How is equilibrium expenditure determined? Equilibrium expenditure is the level of aggregate expenditure that occurs when O A. inventory holdings are minimized OB. aggregate planned expenditure equals real GDP O C. real GDP is maximized D. aggregate planned expenditure is maximized
Chapter1: Making Economics Decisions
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Transcribed Image Text:What is equilibrium expenditure? How is equilibrium expenditure determined?
Equilibrium expenditure is the level of aggregate expenditure that occurs when
O A. inventory holdings are minimized
O B. aggregate planned expenditure equals real GDP
O C. real GDP is maximized
O D. aggregate planned expenditure is maximized
Equilibrium expenditure is determined
O A. by the level of aggregate expenditure that occurs where the AE curve intersects the 45° line
O B. at the point at which the AE curve intersects the x-axis
O C. at all points along the 45° line
O D. at all points along the AE curve
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