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    Foundations of Macroeconomics Study Set 1
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    Exam 14: Aggregate Expenditure Multiplier
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    According to John Maynard Keynes
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According to John Maynard Keynes

Question 96

Question 96

Multiple Choice

According to John Maynard Keynes,


A) Say's Law is always correct.
B) a free market economy automatically finds equilibrium at full employment.
C) prices and wages move up and down freely.
D) effective demand determines real GDP.
E) supply creates its own demand.

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