Multiple Choice
The following question are based on the following information:
-If intended spending exceeds the total value of final goods and services produced
A) GDP falls.
B) firms cut back on their production rates.
C) inventories will be depleted faster than firms desire.
D) the aggregate supply curve must be vertical.
E) depreciation exceeds investment.
Correct Answer:
Verified
Correct Answer:
Verified
Q16: If the morning paper reports that Americans,for
Q17: If disposable income rises by $100 billion
Q18: According to John Maynard Keynes and his
Q19: Keynes disagreed with the classical model because
Q20: If the marginal propensity to save is
Q22: The following question are based on the
Q23: A marginal propensity to save of 0.32
Q24: The following question are based on the
Q25: The average propensity to consume equals the<br>A)
Q26: If interest rates on consumer loans rise,the<br>A)