$500 400 300 200 100 $100 300 200 Real GDP 400 -C+lg 500 Refer to the diagram for a private closed economy. At the $200 level of GDP.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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C+Ig
$500
400
300
200
100
$100
300
200
Real GDP
400
C+lg
C
500
Refer to the diagram for a private closed economy. At the $200 level of GDP,
Transcribed Image Text:C+Ig $500 400 300 200 100 $100 300 200 Real GDP 400 C+lg C 500 Refer to the diagram for a private closed economy. At the $200 level of GDP,
Multiple Choice
O
O
consumption is $200 and planned investment is $50, so aggregate expenditures are $250.
consumption is $250 and actual investment is $50, so aggregate expenditures are $300.
aggregate expenditures fall short of GDP, with the result that GDP will decline.
consumption is $200 and planned investment is $100, so aggregate expenditures are $300.
Transcribed Image Text:Multiple Choice O O consumption is $200 and planned investment is $50, so aggregate expenditures are $250. consumption is $250 and actual investment is $50, so aggregate expenditures are $300. aggregate expenditures fall short of GDP, with the result that GDP will decline. consumption is $200 and planned investment is $100, so aggregate expenditures are $300.
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