Domestic Saving Must Equal Domestic Investment in

question 83

Multiple Choice

Domestic saving must equal domestic investment in

• A)both closed and open economies.
• B)closed, but not open economies.
• C)open, but not closed economies.
• D)neither closed nor open economies.

---

Definitions:

Tolman's Model

A cognitive theory of learning that emphasizes the role of mental processes and latent learning, proposing that organisms create cognitive maps of their environment.

Hull's Model

A theory proposed by Clark Hull that describes behavior as the outcome of internal drives, environmental stimuli, and reinforcement.

Reward

A positive consequence or incentive that increases the likelihood of a behavior being repeated.

Drive Reduction

A theory in psychology suggesting that behaviors are motivated by the desire to reduce internal drives such as hunger or thirst.