The Problem, According to Keynes, Was That

question 6

Multiple Choice

The problem, according to Keynes, was that

• A)aggregate demand was not as important as aggregate supply.
• B)the level of aggregate demand was rarely an amount that would achieve full employment and stable prices.
• C)inflation was everywhere and always a monetary phenomena.
• D)supply was always too great.

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Definitions:

Parent's Cash Flows

The cash inflows and outflows directly associated with the primary operating entity in a group of companies or conglomerate.

AASB 121

Refers to the Australian Accounting Standards Board provision dealing with the effects of changes in foreign exchange rates.

Exchange Differences

Variance arising from translating foreign currency transactions or foreign operations into the reporting currency.

Presentation Currency

The form of money used to express the financial records of a company.