Multiple Choice
Within the Keynesian aggregate expenditures model, if the economy is below equilibrium, then there will be:
A) an increase the demand for goods and services.
B) an increase in real GDP.
C) lower interest rates, which will stimulate aggregate demand and keep the economy at full employment.
D) a lower price level, which will quickly guide the economy to full-employment equilibrium.
Correct Answer:
Verified
Correct Answer:
Verified
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