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AE Model: Private Open Economy
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Problem 1
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Problem 7
Problem 8
Problem 9
Problem 10
AE Model: Private Open Economy
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16. Deriving the Aggregate Expenditures Model / AE Model: Private Open Economy / Problem 10
Problem 10
How is macroeconomic equilibrium represented in a private open economy using the 45-degree line?
A
Where the aggregate expenditures line intersects the 45-degree line.
B
Where the aggregate expenditures line is parallel to the 45-degree line.
C
Where the aggregate expenditures line is below the 45-degree line.
D
Where the aggregate expenditures line is above the 45-degree line.
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