Gross revenue minus explicit and implicit costs is equal to

Gross national product is defined as

A) the value of final goods and services produced by residents of the United States even if the production takes place outside of the United States. B) the value of final goods and services produced within the United States, by United States residents. C) the value of final goods and services produced outside of the United States. D) the value of final goods and services produced within the United States.

In the Keynesian model in the short run, a decrease in government purchases causes output to ________ and the real interest rate to ________

A) fall; rise B) fall; fall C) rise; rise D) rise; fall