Charisse is of the opinion that the interest rate depends on the economy's saving propensities and investment opportunities. Most economists would say that Charisse's opinion is
a. Keynesian in nature, and that her view is more valid for the long run than for the short run.
b. classical in nature, and that her view is more valid for the long run than for the short run.
c. Keynesian in nature, and that her view is more valid for the short run than for the long run.
d. classical in nature, and that her view is more valid for the short run than for the long run.
b
You might also like to view...
Monopolistically competitive firms
A) have market power because they can set price above marginal cost. B) have no market power because they earn zero economic profit. C) have no market power because of free entry. D) have no market power because price equals marginal cost.
The median-voter model attempts to explain
a. why law partners can seldom agree on the division of costs b. why, in a democracy, the preferences of the typical voter often will dominate other choices c. why democracies can evolve into dictatorships d. elections in which candidates present widely different platforms e. conditions under which majority rule is better than market exchange