A reduction in consumption spending due to the lay-off of 2,000 defense-industry workers?will ultimately have a larger overall impact on real GDP due to the multiplier effect

Keynesians reject the influence of monetary policy on the economy. One argument supporting this Keynesian view is that the:

a. money demand curve is horizontal at any interest rate. b. aggregate demand curve is nearly flat. c. investment demand curve is nearly vertical. d. money demand curve is vertical.

Households and businesses are:

A. both buyers in the resource market. B. both sellers in the product market. C. sellers in the resource and product markets respectively. D. sellers in the product and resource markets respectively.