In the basic Keynesian model all of the following are true except:
A) planned consumption always equals actual consumption.
B) planned investment always equals actual investment.
C) planned government spending always equals actual government spending.
D) planned net exports always equal actual net exports.
Correct Answer:
Verified
Q1: If firms sell less output than expected,
Q7: The assumption that firms meet the demand
Q15: Suppose that the owner of a local
Q16: The basic Keynesian model is built on
Q18: The four components of planned aggregate expenditure
Q18: All of the following would be included
Q19: The decision about whether to change prices
Q19: Planned aggregate expenditure (PAE) equals:
A)C + Ip
Q20: If firms sell more output than expected,
Q20: When actual investment is greater than planned
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