An essentially classical feature in the supply-side perception of the saving-investment process is an emphasis on
a. income and, therefore, on aggregate demand.
b. the importance of rates of return as influences on the rates of saving, investment, and thus capital formation.
c. the inflation rate.
d. money neutrality
e. both b and d.
E
You might also like to view...
Suppose there are four firms that are each willing to sell one unit of a good. Each firm has a different minimum price that they are willing to sell for: Firm A $6, Firm B $7, Firm C $10, and Firm D $12
If the market price is $11 then the market supply for this good will be A) 3 units. B) 4 units. C) 1 unit. D) 2 units.
Given full-employment output = $2,800, equilibrium real GDP = $2,500, and MPS = 0.25, which of the following changes would most likely bring the economy to a full-employment level of real GDP?
a. $300 decrease in taxes. b. $75 increase in government spending. c. $75 decrease in taxes. d. $300 increase in government spending. e. $75 decrease in government spending.