The Coase theorem asserts that private economic actors can solve the problem of externalities among themselves, without government intervention, regardless of whether those actors incur significant costs in reaching and enforcing an agreement

In the simple Keynesian expenditure model, a marginal propensity to consume of .9 leads to an expenditure multiplier of

A) .1. B) .9. C) 9. D) 10.

Which of the following best defines the real interest rate (r)?

A) the amount of goods we must give up next year in order to consume more goods today B) the amount of dollars we must give up next year in order to consume more goods today C) the amount of dollars we must give up next year in order to have more dollars today D) the amount of dollars we must give up today in order to have more dollars next year E) the amount of dollars we must give up today in order to consume more goods today