In the Keynesian model, money is
A. neutral in the long run, but not in the short run.
B. neutral in the short run, but not in the long run.
C. neutral in both the short run and the long run.
D. neutral in neither the short run nor the long run.
Answer: A
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Refer to Figure 3-7. Assume that the graphs in this figure represent the demand and supply curves for blu-ray discs. Which panel best describes what happens in this market if there is a substantial increase in the price of blu-ray players?
A) Panel (a) B) Panel (b) C) Panel (c) D) Panel (d)
Since a firm in perfect competition is a price taker, the demand curve for the firm's product is a horizontal line
a. True b. False Indicate whether the statement is true or false
The goal of utilitarians is to
a. punish crimes and enforce voluntary agreements but not to redistribute income. b. redistribute income until each person has equal earnings. c. redistribute income until the marginal utility of the wealthiest person equals the total utility of the poorest person. d. redistribute income based on the assumption of diminishing marginal utility.
Any international transfer made on concessional terms for the purposes of promoting economic development is
a. foreign aid b. first aid c. immigration d. private investment e. remittances