Which of the following is a key assumption leading to the Monetarist view that government deficits crowd out private investment?
A) Money demand is sensitive to the interest rate.
B) The aggregate supply curve is horizontal.
C) Technology is fixed.
D) Investment is sensitive to the interest rate.
D
Economics
You might also like to view...
Inflation is the hardest on those living on fixed incomes
a. True b. False Indicate whether the statement is true or false
Economics
According to economists, an individual who tries to derive utility from the consumption of a good without paying for it is called:
a. a utility maximizer. b. a free rider. c. an opportunist. d. a profit maximizer.
Economics