(Figure: Simple Keynesian Model) in the Figure, Equilibrium Savings Equals

question 163

Multiple Choice

(Figure: Simple Keynesian Model) In the figure, equilibrium savings equals _____ when investment is at AE = C + I_0, and _____ when investment is at AE = C + I_1.

• A) -$50; -$200
• B) $0; $0
• C) $50; $150
• D) $100; $200

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Definitions:

Authorities

Individuals or organizations that have the legal power and right to enforce laws, command obedience, or make decisions.

Bourbon King

Refer to the dynasty that ruled France, and other countries at times, from the late 16th century until the French Revolution.

Civil Liberties

Fundamental rights and freedoms protected from government interference, such as freedom of speech, right to privacy, and the right to a fair trial, essential for democratic societies.

Émigrés

French term referring to individuals who leave their native country for political reasons, often associated with the French Revolution.