According to Keynes,if injections equal leakages,
A) The economy will always stabilize at full employment.
B) Macroeconomic equilibrium will occur.
C) Macroeconomic equilibrium will not occur.
D) Microeconomic instability will persist.
Correct Answer:
Verified
Q1: An addition of spending to the circular
Q3: Income not spent directly on domestic output
Q4: According to the Keynesian view of the
Q5: When the economy is at equilibrium,
A)Leakages equal
Q6: Disposable income is less than GDP due
Q7: If injections exceed leakages,
A)Unemployment will rise.
B)Prices will
Q8: The disposable income consumers receive is equal
Q9: If leakages exceed injections,
A)The economy will stabilize
Q10: Injections include
A)Business saving.
B)Taxes.
C)Exports.
D)Consumer saving.
Q11: Which of the following is a leakage?
A)Imports.
B)Investment.
C)Government
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