Suppose the multiplier is 4.Ceteris paribus,a change in autonomous spending will change Real GDP more if the aggregate supply curve is __________ than if it is __________.
A) horizontal; upward sloping
B) upward sloping; horizontal
C) upward sloping; downward sloping
D) downward sloping; upward sloping
E) There is not enough information to answer the question.
Correct Answer:
Verified
Q131: Exhibit 10-6 Q133: According to Keynes,the private sector (by itself) Q136: Exhibit 10-6 Q138: Which of the following statements would Keynes Q139: The Keynesian aggregate supply curve is Q141: If autonomous consumption rises,the TE curve shifts Q147: In the simple Keynesian model,there are three Q152: John Maynard Keynes was a very famous Q155: Given that the economy is operating in Q159: In the Keynesian analysis of changes from
A)
A) vertical.
B)
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