Business, 23.11.2019 02:31 emilysawyer4363

In the aggregate expenditures model of the economy, a downward shift in aggregate expenditures can be caused by a: a. decrease in government spending or an increase in taxes b. decrease in taxes or an increase in government spending c. decrease in interest rates or a decrease in taxes d. decrease in saving or an increase in government spending

Answers: 3

Show answers

Answers

In the aggregate expenditures model of the economy, a downward shift in aggregate expenditures can be caused by a decrease in government spending or an increase in taxes

Option A

Explanation:

In financial aspects, total use (AE) is a proportion of national salary. Total consumption is characterized as the present estimation of all the completed merchandise and enterprises in the economy. The total use is in this manner the entirety of the considerable number of uses attempted in the economy by the variables during a given time span.

It is the consumption acquired on customer merchandise, arranged speculation and the use made by the administration in the economy. In an open economy situation, total use likewise incorporates the contrast between the fares and the imports.

Total consumptions is characterized as : AE = C+Ip+G+NX,

C = Household Consumption

Ip = Planned Investment

G = Government spending

NX = Net fares (Exports − Imports)

Total consumption gives one approach to figure the aggregate of all financial action in an economy, which is alluded to as the GDP of an economy.

The GDP is determined through the total consumption model, otherwise called the Keynesian cross. AE is likewise utilized in the total interest total inventory model which progresses the total uses model with the incorporation of value changes.

Answer from: Quest

one of the disadvantages of getting a government sponsored mortgage is they put a limit on the purchase price of the house. because the government is in charge of the mortage loan and terms, they are able to control how much money they are allowing someone to take out for the loan. not only are they incontrol, it's a lengthy process for a government sponsored mortgage.

What is one of the disadvantages of getting a government sponsored mortgage?

Answer from: Quest

One stage of the union organizing process involves the legal requirement that at least 30% of the employees in a potential bargaining unit express a desire for union representation by signing union authorization cards.

Another question on Business

Business, 21.06.2019 22:10

You have just received notification that you have won the $2.0 million first prize in the centennial lottery. however, the prize will be awarded on your 100th birthday (assuming you're around to collect), 66 years from now. what is the present value of your windfall if the appropriate discount rate is 8 percent?

Answers: 1

Answer

Business, 22.06.2019 08:00

How do communism and socialism differ in terms of the role that government plays in the economy ?

Answers: 1

Answer

Business, 22.06.2019 11:00

T-comm makes a variety of products. it is organized in two divisions, north and south. the managers for each division are paid, in part, based on the financial performance of their divisions. the south division normally sells to outside customers but, on occasion, also sells to the north division. when it does, corporate policy states that the price must be cost plus 20 percent to ensure a "fair" return to the selling division. south received an order from north for 300 units. south's planned output for the year had been 1,200 units before north's order. south's capacity is 1,500 units per year. the costs for producing those 1,200 units follow

Answers: 1

Answer

Business, 22.06.2019 14:00

How many months does the federal budget usually take to prepare

Answers: 1

Answer

You know the right answer?

In the aggregate expenditures model of the economy, a downward shift in aggregate expenditures can b...

Questions