The equilibrium of the Keynesian cross shows:
A) determination of equilibrium income and the interest rate in the short run.
B) determination of equilibrium income and the interest rate in the long run.
C) equality of planned expenditure and income in the short run.
D) equality of planned expenditure and income in the long run.
Correct Answer:
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Q13: The IS-LM model takes _ as exogenous.
A)
Q15: In the Keynesian-cross model, fiscal policy has
Q16: John Maynard Keynes wrote that low income
Q18: Exhibit: Keynesian Cross Q19: When planned expenditure is drawn on a Q21: In the Keynesian-cross model with a given Q23: The IS curve shifts when any of Q24: An increase in government spending generally shifts Q33: The Keynesian-cross analysis assumes planned investment: Q56: Based on the Keynesian model, one reason
A) is
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