1. A good way to describe our theory of the determination of the expected real interest rate is as a _____________ theory. But it's more common to describe the expected real interest rate the theory predicts we'll observe as the ____________ expected real rate.
2. The portion of a firm's profits that it does not pay out to its owners is called its ________________. The component of total saving that saving of this type contributes to is called _______________ saving.
3. When an increase in government budget deficit results in decrease in private borrowing, the privates borrowing is said to have been _____________. But the theory of _______________ says this usually doesn't happen, because there is an equal increase in private saving.