________ adopts the view that aggregate fluctuations are a natural consequence of an expanding economy

A bank has excess reserves of $4,000 and demand deposit liabilities of $100,000 when the required reserve ratio is 20 percent. If the reserve ratio is raised to 25 percent, the bank's excess reserves will be

A) -$5,000. B) -$1,000. C) $1,000. D) $5,000.

Keynes was motivated to create a macroeconomic theory different from classical theory because

A) he believed in government intervention in the economy. B) he believed in the idea of the invisible hand. C) monetary policy was more important than the classicals acknowledged. D) classical theory was inconsistent with the data in the Great Depression.