If the aggregate supply curve is perfectly elastic as in the Keynesian model at low level of national incomes, as increase in AD will cause an increase in
A) the rate of inflation
B) the level of real national output
C) the government budget deficit
D) the level of consumer debt
Correct Answer:
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Q1: The purpose of Keynesian analysis is to
Q2: In the Keynesian range of the SRAS,
Q4: Attempts to force inflation below no-accelerating inflation
Q5: Which of the following is true with
Q6: According to monetarists, money supply constitutes
A)currency+ demand
Q7: According to monetary approach a revaluation of
Q8: what is the foundation of monetarism?
A)quantity theory
Q9: Suppose that the money stock is $10
Q10: When there are vacancies in the job-market,
Q11: Demand-side unemployment is partly caused by:
A)imperfections in
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