Refer to Figure 28-9. A follower of the new classical ...

[brutforce]

Refer to Figure 28-9. A follower of the new classical macroeconomics would argue that ________ like that pursued by Paul Volcker in 1979, would result in a movement from C to A.
 
  A) expansionary fiscal policy B) contractionary monetary policy
  C) contractionary fiscal policy D) expansionary monetary policy

Question 2

Given the equations for C, I, G, and NX below, what is the marginal propensity to save?
 
  C = 1,000 + 0.8Y
  I = 1,500
  G =1,250
  NX = 100
  A) 0.2 B) 0.8 C) 1.8 D) 10

[janeli1]

Answer to Question 1

B

Answer to Question 2

A

[brutforce]

TYSM

[xoxo123]

Excellent