A model that is composed of many equations that show the channels through which monetary and fiscal policy affect aggregate output and spending is called a
A)reduced-form model.
B)median-voter model.
C)informed median-voter model.
D)structural model.

Question

Quizplus · Accepted Answer

A structural model is a type of economic model that is composed of multiple equations that illustrate the ways in which monetary and fiscal policies affect aggregate output and spending. The other options (A, B, and C) refer to different types of models that do not pertain specifically to this question.

A Model That Is Composed of Many Equations That Show