According to Pigou,the Keynesian dilemma of a vertical AD curve is not a dilemma at all because the demand for commodities depends directly on the level of real balances.Thus,the
A) IS curve would shift to the left whenever the price level falls.
B) AD curve would shift to the left whenever the price level falls.
C) AD curve would shift to the right whenever the price level falls.
D) AD curve would always have a negative slope.
Correct Answer:
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Q78: Figure 7-5 Q79: Figure 7-4 Q80: Classical economists believed that Q81: As firms hire more labor Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
A)government intervention was necessary
A)the supply of