The natural rate of interest is the rate
A) which equates saving and investment under any employment condition.
B) which equates saving and investment with acceptable, but low, unemployment.
C) which equates saving and investment at an unemployment rate of 5 percent or less.
D) which equates saving and investment at full employment.
Correct Answer:
Verified
Q40: Real economic activity at full employment is
Q41: Which of the following will increase the
Q42: Which of the following will decrease the
Q43: "Complete" crowding out of fiscal policy occurs
Q44: When money supply _, the real rate
Q46: The natural rate of interest rises with
Q47: "Partial" crowding out of fiscal policy occurs
Q48: An upward-sloping LM curve implies that the
Q49: The natural rate of interest falls with
Q50: Most economists believe the LM curve to
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