Within the Framework of the Keynesian Model, If Spending Is

Multiple Choice

Within the framework of the Keynesian model, if spending is abnormally low,

A) the economy will be in equilibrium at full employment, but inflation will be high.
B) equilibrium output will be less than the full-employment rate of output.
C) the equilibrium output rate will exceed the economy's full-employment capacity.
D) the actual rate of unemployment will be less than the natural rate of unemployment.