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QUESTION 11 According to the Keynesian cross model, if a government injects $1 billion of expenditure into an economy, then overall income in goods markets
QUESTION 11 "According to the Keynesian cross model, if a government injects $1 billion of expenditure into an economy, then overall income in goods markets would be expected to increase by $1 billion less than $1 billion more than $1 billion QUESTION 12 Fiscal stimulus expenditure spillsover to asset markets in the form of increased money demand. True () False QUESTION 13 The marginal propensiy to consume is greater than the marginal propensity to import due to government procurement globalization positive savings home bias in consumption QUESTION 14 Quantitative easing in domestic asset markets will appreciate the domestic currency. True False QUESTION 15 Equilibrium levels of income and exchange rates are _ related in the goods markets, and equilibrium levels of income and exchange rates are_ - related in asset markets." positively: positively positively: negatively @ negatively: negatively negatively: positively
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