Economics 9708 · AS & A Level · Perfect competition

Perfect competition — practice question

The figures relate to an open economy with a government sector, where C = consumption expenditure, I = investment, G = government expenditure, X = exports, M = imports, Y = national income. In what situation is the economy in disequilibrium?

  • AC 400, I 300, G 200, X 250, M 150, Y 1000
  • BC 500, I 300, G 200, X 250, M 150, Y 1100
  • CC 600, I 300, G 200, X 250, M 150, Y 1200
  • DC 800, I 300, G 200, X 250, M 150, Y 1300

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