Question10

Question text

Which of the following is a nota key assumption of the Keynesian school of macroeconomics?

Select one:

A.Prices and wages are relatively inflexible

B.Expectations are relatively slow to adjust

C.Demand management can be used to smooth the business cycle

D.The main role of government policy should be to remove impediments to free markets

Question11

Question text

The direct exchange of goods and services for other goods and services is:

Select one:

A.A unit of account exchange

B.Legal tender exchange

C.A fiat exchange

D.Barter

Question12

Question text

The data below show that as national income rises from 400m to 650m the mpcd is:

National Income (Ebn) 400 450 500 550 600 650 Consumption of Domestically Produced Goods 400 430 460 490 520 550 and Services (Ebn)