Author Question: Keynesian theory is based on the hypothesis that A) full employment is automatically attained in ... (Read 59 times)

tfester · **on:** Jun 30, 2018

Keynesian theory is based on the hypothesis that

A) full employment is automatically attained in any economy.
B) saving is influenced primarily by the interest rate.
C) saving and consumption are influenced primarily by real current disposable income.
D) planned savings equal planned investment only at full employment.

Question 2

Which of the following is an example of fiscal policy?

A) a reduction in the money supply. B) a reduction in the federal funds rate.
C) a reduction in lump-sum taxes. D) an increase in the physical stock of capital.