The simple Keynesian model ignores
A) the government.
B) the government and the foreign sector.
C) households.
D) households and businesses.

Question

Quizplus · Accepted Answer

The simple Keynesian model only focuses on the interaction between households and businesses in the domestic economy. It does not take into account the role of the government or the foreign sector, making choice B the best answer.

The Simple Keynesian Model Ignores