A Criticism of the Monetarist Autonomous Spending Variable Is That

question 32

Multiple Choice

A criticism of the monetarist autonomous spending variable is that

• A)some types of autonomous spending do not affect aggregate demand.
• B)some types of autonomous spending affect aggregate demand before the spending occurs. Some types of autonomous spending affect aggregate demand when they occur.
• C)some types of autonomous spending affect aggregate demand only long after they occur.
• D)Keynesians do not think that autonomous spending affects aggregate demand.

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Definitions:

Factors

Variables or elements that contribute to a particular outcome or situation; can be economic, social, technological, or of any nature depending on the context.

Incentive Pay

A form of compensation designed to reward employees for achieving specific performance goals or outcomes, typically beyond standard job expectations.

Base Pay

The initial rate of compensation an employee receives in exchange for services, not including benefits, bonuses, or any other potential compensation.

Market Average

A statistical measure that represents the overall trend and value of a specific set of stocks or market segments.