The Keynesian Model Agrees with Monetarists and New Classical Models

question 34

Multiple Choice

The Keynesian model agrees with monetarists and new classical models about the fact that

• A)changes in the money supply drive most changes in aggregate demand.
• B)aggregate supply is upward sloping because of differences between actual and expected price levels.
• C)changes in aggregate demand drive business cycles.
• D)Both b and c
• E)None of the above

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The use of historical data to predict future events or trends, often through the analysis of patterns over time in areas such as sales, stock prices, or weather.

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