According to Keynes,if the Economy Is in a Deep Recession,an

question 151

Multiple Choice

According to Keynes,if the economy is in a deep recession,an increase in aggregate demand will

• A)increase real GDP without putting significant upward pressure on the price level.
• B)decrease real GDP.
• C)increase the price level with no effect on real GDP.
• D)increase both real GDP and the price level.

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Definitions:

End-Of-Period Spreadsheet

A financial document used to gather and adjust account information from the ledger in order to prepare financial statements at the end of an accounting period.

Capital Balance

The amount of money that owners have invested in a company, not including any profits or losses.

Natural Business Year

A fiscal year that ends when a company's sales are at their lowest point in their annual cycle.

Fiscal Year

A one-year period used for financial reporting and budgeting, which does not necessarily coincide with the calendar year.