Which of the following statements about the relationship, Ask an Expert

Economics

Which of the following statements about the relationship between aggregate spending and aggregate income is true?

Aggregate income must exceed aggregate spending, or the economy will be in debt.

Aggregate spending must exceed aggregate income, or the economy will be in debt.

Aggregate income always equals aggregate spending.

The relationship between aggregate spending and aggregate income depends on how high the tax rate is.

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M91697051

Have any Question?Write your Review or question?

Related Questions in Business Economics

From a consequentialist perspective that has as its

From a consequentialist perspective that has as its objective improving the standard of living of unskilled workers, is the introduction of a minimum wage ethically justified?

Here is some questions need help how will each of the

Here is some questions need help!!!!!! How will each of the following changes in demand and/or supply affect equilibrium price and equilibrium quantity in the given market; that is, do price and quantity increase or decr ...

Suppose an industry that has n1 2 firms each with a supply

Suppose an industry that has n1 = 2 firms each with a supply curve S1(p) = 2p-8, and n2 = 4 firms each with a supply curve S2(p) = p-2. Construct the industry supply curve and plot it on a graph.

Answer in true or false1 compensation of employees is the

Answer in true or False: 1) Compensation of employees is the largest component of national income. 2) National income is the income that individuals and firms earn from their production.

What happens if wages and prices adjust very slowly in

What happens if wages and prices adjust very slowly in response to various shocks to the economy? Does this make business cycle, i.e. expansions and contractions in the economy, shorter or longer?

If a patient who was injured and is thinking about whether

If a patient who was injured and is thinking about whether or not to file a medical malpractice claim against his doctor. He is considered a "rational" decision maker in the sense that he decides whether or not to file a ...

When comparing monopolization to monopolistic competition

When comparing monopolization to monopolistic competition in the wireless telecommunications world, what are some good differences to touch on in a short paper?

Carefully explain how the negative price elasticity of

Carefully explain how the negative price elasticity of demand affect the revenue or profit of an organization?

Suppose the elasticity of money demand with respect to

Suppose the elasticity of money demand with respect to income is 2/3. If the money supply increases by 10% and output increases by 4.5%, while the real interest rate and the expected inflation rate are unchanged, then th ...

Espn pays the nfl 11 billion per year for 8 yrs for the

ESPN pays the NFL $1.1 Billion per year for 8 yrs for the right to exclusively televise football. What is the NPV of the investment if the parent Disney CO has an opportunity interest rate that is equal to the cost of ca ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Economics Expert