Explain How Equilibrium Is Achieved in the Keynesian Cross Model

question 22

Essay

Explain how equilibrium is achieved in the Keynesian Cross model.

---

Definitions:

Hydrophilic

Having an affinity for water; capable of interacting with or dissolving in water.

PKa

A measure of acidity that indicates the strength of an acid by showing the equilibrium constant for the dissociation of acid into protons and its conjugate base.

Central Limit Theorem

A statistical theory that states that the sampling distribution of the mean of any independent, random variable will be normal or nearly normal, if the sample size is large enough.

Normal Distribution

A bell-shaped frequency distribution that is symmetric about the mean, showing that data near the mean are more frequent in occurrence than data far from the mean.