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Kindly assist with the answer for the questions submitted below. 1.2. In the Keynesian model, unemployment can be reduced by A. increasing the level of

Kindly assist with the answer for the questions submitted below.

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1.2. In the Keynesian model, unemployment can be reduced by A. increasing the level of saving and hence investment. B. decreasing the level of saving, ceteris paribus. C. persuading households to reduce their consumption. D. raising the interest rate. E. None of the above, since they are not part of the model. When the inflation rate is expected to exceed the target rate by a significant margin, the SARB will tend to A. reduce the cost of credit to the banks. B. purchase government bonds on the open market. C. decrease the repurchase rate (repo rate). D. use moral suasion to persuade banks to provide more loans to their clients. E. increase the repurchase rate (repo rate). 1.4. Which of the following occurrences is likely to lead to an increase in inflation? A. An increase in taxes B. Monetary and credit policies that reduce private consumption C. More efficient public activities D. An increase in money-financed spending by government E. A decrease in the demand for money

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