Read the two statements below and indicate if they are true or false.
I. Autonomous expenditures change when GDP changes.
II. Aggregate planned expenditure is the sum of planned consumption expenditure, investment,
Government expenditure, and net exports.
A) I and II are both true.
B) I and II are both false.
C) I is true and II is false
D) I is false and II is true.

Question

Quizplus · Accepted Answer

I is false because autonomous expenditures are those that do not change when GDP changes. II is true as aggregate planned expenditure indeed comprises planned consumption expenditure, investment, government expenditure, and net exports.

Read the Two Statements Below and Indicate If They Are