Keynesian economists argue that supply-side fiscal policy will not work because
the money supply is controlled endogenously
the rich have a lower MPC
of trickle down economics
the rich have a higher MPC
A reserve shortage for the banking sector as a whole:
means all banks can meet their reserve requirement and the fed funds rate will fall
means all banks can meet their reserve requirement and the fed funds rate will rise
means not all banks can meet their reserve requirement the fed funds rate will fall
means not all banks can meet their reserve requirement and the fed funds rate will rise
According to MMT sovereign governments are able to spend by
crediting bank accounts
borrowing by issuing bonds
generating tax revenue
all of the above
According to Keynes the rate of interest is
a measure of people's uncertainty about the future
all of the above
the reward for not hoarding
the premium required to convince someone to part with liquidity
Which of the following most accurately describes the logical structure of the classical model
Say?s Law is required to maintain the assumption of full employment, and in turn, the loanable funds model is required to preserve Say?s law
The assumption of full employment underpins the Loanable funds market, which in turn, requires the assumption of Say?s Law.
Say?s Law rests on the assumption of full employment, which in turn, depends on the loanable funds market
The loanable funds model requires the adoption of Say?s Law, in turn, both the loanable funds market and Say?s law rest on the assumption of full employment.
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