While the Classicists Believed That Both Velocity and Output Are

question 158

Multiple Choice

While the classicists believed that both velocity and output are stable, Keynesians believe:

• A) velocity is stable and output is variable.
• B) velocity and output are both variable.
• C) output is stable and velocity is variable
• D) the same as the classical economists that both output and velocity are stable
• E) at low levels of income both velocity and output are stable, but at high levels of income velocity becomes variable.

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