Keynes was especially interested in explaining movements of ________ because he wanted to explain why the Great Depression had occurred and how government policy could be used to increase ________ in a similar economic situation.
A) aggregate output;wages
B) aggregate output;employment
C) wage rates;wages
D) wage rates;employment
Correct Answer:
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Q12: His analysis started with the recognition that
Q13: In the simple Keynesian model,equilibrium aggregate output
Q14: Under Keynesian analysis,aggregate demand can be written
Q15: Assume that autonomous consumption equals $200 and
Q16: If the consumption function is C =
Q18: Everything else held constant,if disposable income increases
Q19: Keynes reasoned that consumer expenditure is most
Q20: Everything else held constant,if consumption expenditure increases
Q21: Economists define investment as the purchase of
A)a
Q22: Aggregate demand in an economy with no
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