The Keynesian Model Is Based on the Idea That

question 354

Multiple Choice

The Keynesian model is based on the idea that

• A)saving depends only on the interest rate.
• B)both consumption and saving are directly related to disposable income.
• C)consumption is unrelated to the level of real Gross Domestic Product (GDP).
• D)both consumption and saving are unrelated to the level of real Gross Domestic Product (GDP).

---

Definitions:

Anvil Shape

A cloud formation resembling an anvil, typically observed in cumulonimbus clouds, signifying strong updrafts and potential thunderstorms.

Surface Current Flow

The movement of water at the ocean or sea surface, driven by wind, temperature differences, and Earth's rotation.

Northern Hemisphere

The Northern Hemisphere is the half of Earth that lies north of the equator, containing approximately 90% of the human population.

Atmospheric Flow

The movement of air due to differences in temperature and pressure across the Earth's surface.