According to Keynesian economics, if there are unutilized resources in the economy and aggregate demand decreases
A) real GDP will rise and price level will remain constant.
B) real GDP will fall and price level will remain constant.
C) real GDP will rise and price level will rise.
D) real GDP will rise and price level will fall.
Correct Answer:
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Q206: The short-run aggregate supply curve in modern
Q207: Keynesian economists argue that
A) prices and wages
Q208: Q209: According to Keynesian economics, if there are Q210: Keynesian economists would likely argue that the Q212: The short-run aggregate supply curve in modern Q213: The horizontal portion of the short-run aggregate Q214: John Maynard Keynes developed his economic theories Q215: How does the original, simplified Keynesian model Q216: According to Keynes, the "stickiness" of wage
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