When real GDP is greater than Yo in the diagram above: O A Inventories will decrease OB. Aggregate expenditure will be less than Real GDP Aggregate expenditure will be equal to Real GDP OD. inventories will increase
When real GDP is greater than Yo in the diagram above: O A Inventories will decrease OB. Aggregate expenditure will be less than Real GDP Aggregate expenditure will be equal to Real GDP OD. inventories will increase
Brief Principles of Macroeconomics (MindTap Course List)
8th Edition
ISBN:9781337091985
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter7: Production And Growth
Section: Chapter Questions
Problem 5CQQ
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![QUESTION 6
Potential
GDP
Aggregate
expenditure
AE,
45°
Y.
Real GDP (Y)
When real GDP is greater than Yo in the diagram above:
O A.
- inventories will decrease
OB.
·Aggregate expenditure will be less than Real GDP
OC.
Aggregate expenditure will be equal to Real GDP
OD.
O D. inventories will increase
QUESTION 7
Y
G
Xn
$1,000
$1,400
1,400
1,400
1,400
1,400
$0
$800
-$200
2,500
5,000
7,500
10,000
2,300
3,800
5,300
6,800
1,000
1,000
1,000
1,000
-200
-200
-200
-200
Suppose you are given the data in the table above for a hypothetical economy. All data are in billions of dollars. Yis actual real GDP, and C, Ip, G, and Xn are the consumption, planned investment, government purchases, and net exports components of aggregate
expenditures, respectively.
Calculate the equilibrium GDP (give your answer in billions of $)
Aggregate Expenditure](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fbe67064b-8bbe-470f-9841-6ef968628727%2Fce1ed8d8-92e3-4686-a7de-4a9256cb1c34%2F068gqr9_processed.jpeg&w=3840&q=75)
Transcribed Image Text:QUESTION 6
Potential
GDP
Aggregate
expenditure
AE,
45°
Y.
Real GDP (Y)
When real GDP is greater than Yo in the diagram above:
O A.
- inventories will decrease
OB.
·Aggregate expenditure will be less than Real GDP
OC.
Aggregate expenditure will be equal to Real GDP
OD.
O D. inventories will increase
QUESTION 7
Y
G
Xn
$1,000
$1,400
1,400
1,400
1,400
1,400
$0
$800
-$200
2,500
5,000
7,500
10,000
2,300
3,800
5,300
6,800
1,000
1,000
1,000
1,000
-200
-200
-200
-200
Suppose you are given the data in the table above for a hypothetical economy. All data are in billions of dollars. Yis actual real GDP, and C, Ip, G, and Xn are the consumption, planned investment, government purchases, and net exports components of aggregate
expenditures, respectively.
Calculate the equilibrium GDP (give your answer in billions of $)
Aggregate Expenditure
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