The 45° Line in the Keynesian Cross Model Shows

question 65

Multiple Choice

The 45° line in the Keynesian Cross model shows:

• A) the points where planned expenditure is lesser than the national output.
• B) the points of intersection between aggregate demand and aggregate supply.
• C) the points at which planned expenditure is equal to ?rms' actual output.
• D) the points where planned expenditure is greater than the national output.

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Definitions:

ISO 32

A classification of industrial and hydraulic fluids, indicating a medium viscosity grade according to the International Standards Organization.

Viscosity Grade

A classification indicating the thickness or fluidity of a lubricant, with higher numbers denoting thicker oils.

SAE 20

A classification of motor oil viscosity defined by the Society of Automotive Engineers, suitable for use in certain engine types under specific conditions.

Incremental Cash Flows

The additional cash flow a new project is expected to generate.