Multiple Choice
In the simplest Keynesian expenditure model, which of the following is fixed to allow for easy evaluation of changes in demand due to real income?
A) the price level
B) interest rates
C) tastes and preferences
D) future expectations
Correct Answer:
Verified
Correct Answer:
Verified
Q21: Keynes believed that:<br>A)discretionary fiscal policy was needed
Q22: Consumption expenditure tends to increase when consumers
Q23: Identify factors that would cause consumption spending
Q24: If government spending increased by $100 billion
Q25: Which of the following is not true
Q27: The marginal propensity to consume (MPC) is
Q28: A change in aggregate expenditures for reasons
Q29: If government spending increased by $50 billion
Q30: Which of the following changes in disposable
Q31: Bill's disposable income goes from $100,000 in