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

Question

Quizplus · Accepted Answer

Aggregate planned expenditure equals actual aggregate expenditure at the equilibrium level of real GDP because, at this point, the amount that consumers, businesses, and the government plan to spend exactly equals the amount that is actually spent in the economy.

Aggregate Planned Expenditure