Economics Quiz

The demand for imported goods and services in an economy

The demand for intermediate goods and services in an economy

The total demand for final goods and services in an economy at a given time (correct)

The total supply of goods and services in an economy

With real output on the horizontal axis and the price level on the vertical axis (correct)

With price level on the horizontal axis and real output on the vertical axis

With consumer spending on the horizontal axis and investment on the vertical axis

With government expenditure on the horizontal axis and net exports on the vertical axis

Producer spending, government subsidies, consumer savings, and net imports

Corporate profits, government loans, consumer debt, and net investments

Government spending, consumer savings, corporate investments, and net exports

Consumer spending, investment, corporate and government expenditure, and net exports (correct)

<p>A higher price level implies lower real wealth and therefore lower consumption spending, giving a lower quantity of goods demanded in the aggregate</p> Signup and view all the answers

<p>With the help of three macroeconomic assumptions about the functioning of markets: Pigou's wealth effect, Keynes' interest rate effect and the Mundell–Fleming exchange-rate effect</p> Signup and view all the answers