In the short run,
a. spending determines income, but not the other way around
b. income determines spending, but not the other way around
c. spending determines the interest rate, but not the other way around
d. spending determines income, and income determines spending
e. spending determines the productivity, and productivity determines spending.
D
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To sell an extra unit of output, a perfectly competitive firm ________, and an imperfectly competitive firm ________.
A. need not alter its price; must lower its price B. must hope the market price falls; must lower its price C. must lower its price; must lower its price D. need not alter its price; need not alter its price
Starting from long-run equilibrium, a decrease in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. higher; potential D. lower; higher
Which part of the Foreign Corrupt Practice Act (FCPA) requires companies to keep books and record that accurately and fairly reflect the transactions of the corporation?
A) Part II B) Part VI C) Part I D) Part III
Keynes noted that that one solution to a recession was increased government spending, and while it would be nice if the government could spend additional money on housing, roads, and other amenities, he also argued that if the government could not agree on how to spend money in practical ways, then
a. it should not spend the additional money. b. a trade-off would appear. c. the Phillips curve would shift. d. it should spend in impractical ways.