A. aggregate output equals consumption minus investment
B. saving equals consumption
C. Planned aggregate expenditure equals aggregate output
D. planned aggregate expenditure equals consumption
Related Mcqs:
- Macroeconomics deals with?
A. the behavior of the electronics industry
B. the behavior of firms
C. economics aggregates
D. the activities of individual units - Macroeconomics is the study of ?
A. individual building blocks in the economy
B. the relationship between different sectors on the economy
C. household purchase decisions
D. the economy as a whole - Macroeconomics is the branch of economics that deals with ?
A. imperfectly competitive markets:
B. Only the long run adjustments to equilibrium in the economy
C. The functioning of individual industries and the behavior of individual decision-making units business firms and households
D. the economy as a whole - The key issues of macroeconomics are ?
A. unemployment
B. inflation
C. economic growth
D. All of the above - The regarding the new classical macroeconomics is hoe realistic is the assumption ?
A. that monetary policy affects aggregates demand
B. that markets do not clear quickly
C. that fiscal policy affects aggregate demand
D. of rational expectations. - Which of the following statements about microeconomics and macroeconomics is not true ?
A. The study of very large industries is a topic within macroeconomics
B. Macroeconomics is concerned with economy-wide phenomena
C. Microeconomics is a building block for macroeconomics
D. Microeconomics and macroeconomics cannot be entirely separated - The classical model of macroeconomics assumes ?
A. wages and prices are sticky
B. wages and prices are flexible
C. the economy may operate below full capacity
D. the economy is always at full capacity
E. A and C
F. B and D - If a result of households wish to save more there is a change in equilibrium income and no change in equilibrium saving this is an example of ?
A. market imperfection
B. the law of diminishing returns
C. the paradox of thrift
D. market failure - Suppose the economy is initially in long run equilibrium Then suppose there is a drought that destroys much of the wheat crop if policymakers allow the economy to adjust to long-run equilibrium on its own, according to the model to aggregate demand and aggregate supply what happens to prices and output in the long run ?
A. Output rises; prices are unchanged from the initial value
B. Output and the price level are unchanged from their initial values
C. Output falls; prices are unchanged from the initial value
D. Prices fall; output is unchanged from its initial value - For equilibrium in an open four sector economy ?
A. Actual injections = actual withdrawals
B. Planned injections = planned withdrawals
C. Savings = investment
D. Government spending = tax revenue
