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In the Keynesian Model, It Is Assumed That, When Demand

Question 101

Multiple Choice

In the Keynesian model, it is assumed that, when demand for a firm's product changes, the firm:


A) changes prices to meet the demand.
B) changes production levels to meet the demand.
C) changes prices and production levels to meet demand.
D) changes prices, but hold production levels constant to meet the demand.

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