In the Keynesian model, when desired saving exceeds desired investment,
A) inventories rise.
B) inventories fall.
C) the price level rises.
D) the price level falls.
Correct Answer:
Verified
Q8: Keynesian theory emphasizes
A) aggregate supply.
B) rational expectations.
C)
Q9: Keynes argued that if the economy is
Q10: In a simple Keynesian model, an increase
Q11: Which of the following is not reflected
Q12: The marginal propensity to consume is assumed
Q14: If the marginal propensity to consume is
Q15: In a simple Keynesian model, a decrease
Q16: If consumption increases by $400 when income
Q17: In the Keynesian model, an unwanted decrease
Q18: In the simple Keynesian framework, the price
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents