Equilibrium expenditure is defined as the level of aggregate expenditure where
A. actual aggregate expenditure equals real GDP.
B. total inventories equal zero.
C. aggregate planned expenditure equals real GDP.
D. spending equals output.
Answer:C
Equilibrium expenditure is defined as the level of aggregate expenditure where
A. actual aggregate expenditure equals real GDP. B. total inventories equal zero. C. aggregate planned expenditure equals real GDP. D. spending equals output.