There are no idle resources,the multiplier is operative,and autonomous spending rises.It follows that
A) Real GDP will not increase.
B) Real GDP will rise.
C) prices will rise.
D) a and c
E) a,b,and c
Correct Answer:
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Q140: Government purchases rise by $100 billion and
Q141: If autonomous consumption rises,the TE curve shifts
Q142: According to Keynes,the private sector (by itself)
A)
Q143: The closer the aggregate supply curve is
Q144: Suppose for a given economy the multiplier
Q146: Autonomous spending rises by $10 billion and
Q147: In the simple Keynesian model,there are three
Q148: The economy is in equilibrium,TP = TE,and
Q149: The answer is: 1/(1 - MPC).What is
Q150: The Keynesian aggregate supply curve is
A) vertical.
B)
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