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If C Represents Aggregate Consumption, Id Represents Domestic Investments, G

Question 12

Multiple Choice

If C represents aggregate consumption, Id represents domestic investments, G represents government expenditures, E represents national expenditures on goods and services, X represents foreign demands for exports, and M represents domestic demand for imports, then aggregate demand in an economy equals:


A) C + Id + G.
B) E + C + Id + (X - M) .
C) C + Id + G + (X - M) .
D) C + Id + G + (M - X) .

Correct Answer:

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