In the Keynesian aggregate expenditure model, which variable is assumed to be fixed?
A) GDP
B) consumption
C) unemployment
D) the price level

Name: In the Keynesian aggregate expenditure model, which variable is assumed to be fixed? A) GDP B) consumption C) unemployment D) the price level
Brand: Quizplus
Rating: 4.7 (39 reviews)

Question

Quizplus · Accepted Answer

In the Keynesian aggregate expenditure model, the price level is assumed to be fixed, meaning it does not change in response to changes in aggregate demand.

In the Keynesian Aggregate Expenditure Model, Which Variable Is Assumed