The four components of aggregate spending are consumption, saving, imports, and taxes.

An increase in personal spending is likely the result of

Refer to the figure. An increase in government spending, ceteris paribus, is best represented as a change from point

During a recession, real output falls.

Refer to the figure. Which of the following can cause a shift from AD0 to AD1, ceteris paribus?

If tax policies become less favorable, then

Which of the following gave the U.S. federal government the power to tax income?

Which of the following is not considered to be an important determinant of investment?

Refer to the table. Year 1Year 5Working-Age Population200 million250 millionLabor Force110 million145 millionEmployed106 million135 million What is the number of unemployed in Year 1?

If actual investment exceeds desired investment, then