Which of the following emphasizes government spending as a counter cyclical approach to create economic expansion?

The demand for necessities generally is ________ the demand for luxury goods

A) as elastic as B) more elastic than C) less elastic than D) flatter than E) not comparable to

Which of the following is a key property of models?

A) All economic models begin with assumptions. B) Empiricism is not essential for testing models. C) All models can be used for a limited time period only. D) All models are consistent and do not make incorrect predictions.