In a Simple Macro Model with the Price Level Assumed

question 97

Multiple Choice

In a simple macro model with the price level assumed to be constant,a change in firms' level of desired investment is predicted to influence equilibrium national income by

• A)shifting the saving function.
• B)shifting the consumption function.
• C)shifting the aggregate expenditure function.
• D)causing movement along the investment function.
• E)shifting the 45-degree line.

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Definitions:

Interactional Justice

The interpersonal treatment employees receive during the implementation of the downsizing decision.

Downsizing Decision

The process undertaken by a company to reduce its workforce to improve efficiency or reduce costs.

Interpersonal Treatment

The behavior and manner in which individuals interact with one another within an organization.

Interactional Justice

The fairness perceived in the communication processes used during the implementation of organizational procedures.