According to Keynes,if the economy is in a deep recession,an increase in aggregate demand will
A) increase real GDP without putting significant upward pressure on the price level.
B) decrease real GDP.
C) increase the price level with no effect on real GDP.
D) increase both real GDP and the price level.
Correct Answer:
Verified
Q141: Which statement is true?
A)We have a national
Q142: Federal budget deficits
A)help stabilize the economy during
Q143: Fiscal policy is
A)periodic fluctuations in the level
Q144: Fiscal year 1996 ran from
A)January 1,1996 to
Q145: If the multiplier is 10,the MPC is
A)0.
B).1.
C).5.
D).9.
E)1.0.
Q147: The national debt is now about
A)$700 million.
B)$9
Q148: If the MPC is .8,the multiplier is
A).2.
B).8.
C)1.
D)5.
E)8.
Q149: Which of the following is NOT an
Q150: When the economy heads into a recession,automatic
Q151: Which of the following is NOT an
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