Classical Economists Assume That

question 114

Multiple Choice

Classical economists assume that

• A)Spending leakages exceed spending injections.
• B)Interest rate adjustment will cause business investment to equal consumer saving.
• C)The economy might experience persistent macro instability.
• D)No leakages would occur.

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Definitions:

Health Care Spending

The total amount of funding or resources allocated by individuals, private entities, or governments toward medical services and health-related activities.

Rich Countries

Nations with high levels of income per capita, advanced technological infrastructure, and a diverse industrial base.

Functionalism

A theoretical framework in sociology that emphasizes the interdependence of the parts of a society and their role in maintaining social order.

Conflict Theory

A sociological perspective that focuses on the inherent divisions of societies based on social inequalities and the ways these social divisions are maintained and changed.