The effect on the aggregate demand curve of which of the following is most similar to the effect of a decrease in the barriers to efficient functioning of financial markets?

In Keynes' view, labor unions would resist wage cuts, but individual employees would go along with wage cuts initiated by his/her employer

Indicate whether the statement is true or false

Assuming that investment, government expenditures, and net exports are all autonomous, the marginal propensity to consume for the economy represented in Figure 9.9 is

A. 0.25. B. 1.0 since aggregate expenditure is a straight line. C. 0.5. D. Indeterminate since there is no consumption function.