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The components of aggregate expenditure that are not influenced by GDP are known as

A. autonomous expenditure.
B. planned expenditure.
C. induced expenditure.
D. fixed expenditure.
E. unplanned expenditure.

User Crashworks
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Final answer:

The components of aggregate expenditure not influenced by GDP are called autonomous expenditures, which include government spending, investment, and net exports.

Step-by-step explanation:

The components of aggregate expenditure that are not influenced by GDP are known as autonomous expenditure. This includes all spending variables that remain constant regardless of changes in income, such as government spending (assumed not to be affected by tax revenue in this context), investment, and net exports. Hence, these forms of expenditures are not reactive to national income levels and can therefore be referred to as exogenous. In contrast, induced expenditures are those that change with national income levels, like consumer spending which alters as disposable income varies.

User Cauterite
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