Author Question: The Keynesian model is based on the idea that A) both consumption and saving are directly related ... (Read 66 times)

jayhills49 · **on:** Jun 30, 2018

The Keynesian model is based on the idea that

A) both consumption and saving are directly related to disposable income.
B) saving depends only on the interest rate.
C) consumption is unrelated to the level of real Gross Domestic Product (GDP).
D) both consumption and saving are unrelated to the level of real Gross Domestic Product (GDP).

Question 2

Fiscal policy involves which of the following?

A) interest rates B) tax policy
C) buying and selling government-agency bonds D) none of the above