With a fixed supply of money, as GDP rises, the demand for money ____ and therefore ____ must rise to encourage savers to hold financial assets instead of cash.

The approach to understanding the determination of real GDP and the price level that emphasizes flexible wages and prices and competitive markets is

A) the Keynesian model. B) the classical model. C) Adam Smith's Law. D) the aggregate demand model.

An improvement in productivity will usually increase profits

a. True b. False Indicate whether the statement is true or false