People might work more during a war time temporary increase in government purchases because of:
A) a military draft or voluntary enlistment takes away some primary household earners and to maintain consumption as the model predicts, those households may have other members work who did not previously.
B) the increase in the MPL leading to an increase in the demand for labour and increased capital utilization as the model predicts.
C) increased investment leading to hire capital stocks that increase the demand for labour as the model predicts.
D) all of the above.
Correct Answer:
Verified
Q21: Among the government's uses of funds are;
A)government
Q22: In the market clearing model a permanent
Q23: Eurozone data since 1999 shows that permanent
Q24: According to the market clearing model a
Q25: According to the market clearing model, a
Q27: In the market clearing model a permanent
Q28: According to the market clearing model a
Q29: Since the end of the Korean war,
Q30: In the market clearing model without government
Q31: People might work more during a war
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