This topic contains a solution. Click here to go to the answer

Author Question: According to the classical model, investment A) is a function of the nominal GDP. B) is ... (Read 33 times)

Kthamas

  • Hero Member
  • *****
  • Posts: 546
According to the classical model, investment
 
  A) is a function of the nominal GDP.
  B) is inversely related to the interest rate.
  C) is a function of real GDP.
  D) is influenced by the money illusion at low income levels.

Question 2

Where the consumption function intersects the 45-degree line
 
  A) consumption will equal only autonomous consumption.
  B) the average propensity to consume is 0.5.
  C) savings will be negative.
  D) saving will be zero.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

recede

  • Sr. Member
  • ****
  • Posts: 315
Answer to Question 1

B

Answer to Question 2

D




Kthamas

  • Member
  • Posts: 546
Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it


hramirez205

  • Member
  • Posts: 345
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

Did you know?

On average, the stomach produces 2 L of hydrochloric acid per day.

Did you know?

Cytomegalovirus affects nearly the same amount of newborns every year as Down syndrome.

Did you know?

Tobacco depletes the body of vitamins A, C, and E, which can result in any of the following: dry hair, dry skin, dry eyes, poor growth, night blindness, abscesses, insomnia, fatigue, reproductive system problems, sinusitis, pneumonia, frequent respiratory problems, skin disorders, weight loss, rickets, osteomalacia, nervousness, muscle spasms, leg cramps, extremity numbness, bone malformations, decayed teeth, difficulty in walking, irritability, restlessness, profuse sweating, increased uric acid (gout), joint damage, damaged red blood cells, destruction of nerves, infertility, miscarriage, and many types of cancer.

Did you know?

The tallest man ever known was Robert Wadlow, an American, who reached the height of 8 feet 11 inches. He died at age 26 years from an infection caused by the immense weight of his body (491 pounds) and the stress on his leg bones and muscles.

For a complete list of videos, visit our video library