What is the primary determinant of real saving and real consumption according to Keynes? Explain
What will be an ideal response?
Keynes argued that real consumption and real saving depend primarily on an individual's current real disposable income. As someone's real disposable income rises, Keynes expected the person's real consumption spending and real saving to increase, too. He argued that individuals did not respond to the interest rate in making decisions about real saving.
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Given the exit rule, where does a firm's long-run supply curve derive from? It is the section of the:
A. ATC curve to the right of its minimum. B. MC curve that lies above the ATC curve. C. MC curve that lies above the AVC curve. D. AVC curve to the right of its minimum.
Given the following data, what is the distance from the origin to the point where the total expenditures (TE) curve cuts the vertical axis? ? C = $4,200 + 0.90Yd I = $1,820 G = $970
a. $2,790 b. $4,290 c. $6,990 d. $5,170 e. $390
An industry with a Herfindahl-Hirschman index of 100 would have at least ______ firm(s).
Fill in the blank(s) with the appropriate word(s).
Monetary policy actions by the Fed are:
A. More effective in a restrictive direction than they are in an expansionary direction B. More effective in an expansionary direction than they are in a restrictive direction C. Equally effective in both expansionary and restrictive directions D. Only effective when coupled with fiscal policy actions