If Planned Leakages Exceed Planned Injections,then Keynesians Believe

question 18

Multiple Choice

If planned leakages exceed planned injections,then Keynesians believe

• A)The economy will quickly adjust to full employment if left alone.
• B)Income will fall until planned leakages equal planned injections.
• C)Investment will quickly rise to bring the system to equilibrium.
• D)No macro equilibrium can be achieved.

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Definitions:

Expectancy Theory

A motivational theory suggesting that individuals are more likely to be motivated to perform if they believe that their efforts will lead to desirable outcomes.

Test

A method of assessing a person's knowledge, performance, or ability in a particular area, often used in educational and professional settings.

Research Results

The findings and conclusions derived from systematic investigation into a specific subject area or question, aiming to add to existing knowledge.

Second-Level Outcome

An effect or result that is one step removed from the immediate outcome, often referring to the longer-term or indirect effects.