For Keynes, the most important determinant of employment and output is _____.

Fill in the blank(s) with the appropriate word(s).

aggregate demand

Economics

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In maximizing net gains, the perfectly competitive firm will seek to:

a. minimize average variable cost. b. minimize average total cost. c. minimize marginal cost. d. maximize profit.

Economics

Refer to Figure 10.3. A negative demand shock with no change in the real interest rate is best represented by ________ in panel (a) and ________ in panel (b)

A) a shift from AE3 to AE2; a shift from IS2 to IS1 B) a shift from AE2 to AE3; a shift from IS1 to IS2 C) a shift from AE2 to AE1; a movement from point B to point A D) a shift from AE3 to AE1; a movement from point C to point A

Economics