The Keynesian model of aggregate expenditure assumes that
A) individual firms' prices are flexible but the price level is fixed.
B) both individual firms' prices and the price level are flexible.
C) both individual firms' prices and the price level are fixed.
D) individual firms' prices are fixed but the price level is flexible.
Correct Answer:
Verified
Q1: Disposable income is
A) income minus saving.
B) income
Q2: The consumption function relates consumption expenditure to
A)
Q4: In the very short term, planned investment
Q5: In the very short term, in the
Q6: An increase in real GDP leads to
A)
Q7: In the Keynesian model of aggregate expenditure,
Q8: Which of the following statements is FALSE?
A)
Q9: Consumers divide disposable income into
A) consumption and
Q10: The Keynesian model of aggregate expenditure describes
Q11: Real GDP
A) is always greater than aggregate
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