Which of the following is assumed constant along the aggregate expenditure line?
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The aggregate expenditure line shows total planned spending at each income level, holding the price level constant.
Aggregate expenditure is the total amount that firms and households plan to spend on goods and services at each level of income. It is the sum of expenditures on investment, consumption, net exports and government expenses.
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Well, it seems you have not provided the options but,
Aggregate expenditure line is actually the total amount that a firms or the organization planned in order to spend it on the goods as well as the services in the every level of the income . This usually assume the price level as the constant.
In the Aggregate expenditure every expenditure in the economy is sum up.It is helpful method in order to calculate the Gross domestic product which we known as GDP of an country.
Aggregate expenditure line is actually the total amount that a firms or the organization planned in order to spend it on the goods as well as the services in the every level of the income . This usually assume the price level as the constant.
In the Aggregate expenditure every expenditure in the economy is sum up.It is helpful method in order to calculate the Gross domestic product which we known as GDP of an country.
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