Question
At point a in the graph to the right, planned aggregate expenditure is

At point A in the graph to the right planned aggregate expenditure is GDP. At point B, planned aggregate expenditure is GDP.
at point A in the graph to the right, planned aggregate expenditure is GDP At point B, planned aggregate expenditure is GDP A
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Answer #1

a) At point A the planned aggregate expenditure is higher than real GDP,

b) At point B is the equal to the real GDP.

c) at point C it is less than real GDP.

d) it can be shown as a vertical distance between point A and 45* line.

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