Which of the following equations is correct?
A) Saving = Disposable income + Consumption
B) Saving = Disposable income x Consumption
C) Disposable income = Consumption - Saving
D) Saving = Disposable income - Consumption
D
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Full employment occurs when the
A) cyclical unemployment rate equals the natural unemployment rate. B) structural unemployment rate equals zero. C) unemployment rate equals the natural unemployment rate. D) natural unemployment rate equals the frictional unemployment rate. E) structural unemployment rate equals the frictional unemployment rate.
The _____ effect states that a lower price level reduces the amount of money people wish to hold. When they lend out their excess savings, the _____ falls causing investment spending to rise and increases the quantity of goods and services demanded
Fill in the blank(s) with correct word