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Question 2 [5] TRUE/FALSE QUESTIONS Consider the following list of statements. Each statement is either true or false. You must read each statement carefully and then select the option that you believe is correct as your answer, Write down only the question number and next to the number either "True" or "False". Example: If you believe sub-question 2.6 is true, then write down: 2.6. True. 2.1. The Keynesian model assumes that a change in aggregate demand will cause a change in aggregate production, not the other way around. 2.2. In terms of the AD/AS model, a decrease in investment spending and an increase in the productivity of labour will lead to an indeterminate change in output and increased price level. 2.3. When measuring the economy, if GDP is greater that GDE (gross domestic expenditure ), the country will have a deficit on the current account. 2.4. In terms of trade policy, a tariff is a tax on imported goods that increases the effective price of these imported goods and is implemented by government to discourage exports. 2.5. C + 1 = G + (X - M) = Expenditure on gross domestic product = Total production