Author Question: According to the classical model, desired saving is A) affected by the money illusion at low ... (Read 53 times)

hubes95 · **on:** Jun 30, 2018

According to the classical model, desired saving is

A) affected by the money illusion at low income levels.
B) identical to the demand for saving at each level of real GDP.
C) a function of real GDP.
D) equal to desired investment.

Question 2

The use of money as a medium of exchange
I. lowers transaction costs.
II. permits more specialization.

A) I only B) II only C) Neither I nor II D) Both I and II