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With Which Statement Does the "Yes - Markets Self-Adjust" Camp

Question 210

Multiple Choice

With which statement does the "Yes - Markets Self-Adjust" camp disagree?


A) External supply shocks are the main contributors to business cycles.
B) Money and the loanable funds market facilitate the transmission mechanism between interest rates and aggregate demand.
C) Money affects external supply shocks.
D) Money helps markets adjust to equilibrium.
E) When people save more money, lower interest rates increase business investment spending.

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