Problem
If output is determined by aggregate expenditures, explain how the equilibrium level of output is determined. Why are points on the aggregate expenditures schedule above the 45-degree line not sustainable? Why are points on the aggregate expenditures schedule below the 45-degree line not sustainable?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.