1. If a disease kills off half the workers in a classical economy, we would expect a. Prices to fall Output to fall C. Real wages to fall d. All of the above e. None of the above 2. In the Classical model changes in the Quantity of Money cause a. Changes in interest rates through loanable funds as savings increase b. Changes only influence nominal prices and wages C. Changes the nominal wages paid workers d. All of the above e . None of the above 3 . The role of government in the classical model a. Was to support police and justice b. Promote public health C . The protection (defense) in case of war I al All of the above e. None of the above Which is not an assumption of the classical model? Markets work fast 2.Goods are homogenous 2 There is an annual production period d. All of the above Vell None of the above 5 . In the classical model a. Money is medium of exchange b. There is a dichotomy between the real and monetary sides of the model c. Money is simply a veil over transactions All of the above e. None of the above