Aggregate planned expenditure
A) equals actual aggregate expenditure at the equilibrium level of real GDP.
B) is always less than actual aggregate expenditure.
C) always equals actual aggregate expenditure.
D) is always greater than actual aggregate expenditure.

Question

Quizplus · Accepted Answer

At the equilibrium level of real GDP, aggregate planned expenditure equals actual aggregate expenditure, as this is the point where the economy is in balance, with no unplanned changes in inventories.

Aggregate Planned Expenditure