According to the classical model, desired saving is

A) affected by the money illusion at low income levels.
B) identical to the demand for saving at each level of real GDP.
C) a function of real GDP.
D) equal to desired investment.

D

Economics

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According to the U.S. Treasury,

A) creditors do not have to accept cash in payment of debts. B) U.S. dollars must be accepted as payment for any good or service sold in the United States. C) firms do not have to accept cash as payment for goods and services. D) the government will not accept cash in payment of taxes.

Economics

Which of the following is true of exchange?

A) Exchange permits trading partners to expand their total output of goods and services as the result of greater specialization in areas where each has a comparative advantage. B) The total output that trading partners are able to produce is not influenced by whether they trade with each other. C) Exchange is a zero sum activity; if one party gains, the other must lose an equal amount. D) The exchange value of a good is determined by the cost of the resources required to produce the good.

Economics