In the Basic Keynesian Model,all of the Following Are True

question 117

Multiple Choice

In the basic Keynesian model,all of the following are true EXCEPT

• A) planned consumption always equals actual consumption.
• B) planned private-sector investment always equals actual investment.
• C) planned government spending always equals actual government spending.
• D) planned net exports always equal actual net exports.
• E) planned total spending equals planned aggregate expenditurE.

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Definitions:

Alienated

The feeling of being estranged or disconnected from others, society, or oneself, often resulting in isolation and a loss of identity or meaning.

Adam Smith

A Scottish economist and philosopher, best known for his theories on free market economics and the ‘invisible hand’ concept.

Peasants

Historically, members of the lower social class in rural areas, typically farmers who own or rent small plots of land for cultivation.

Legitimate Power

Authority that is recognized and accepted by others within an organizational or social structure, often derived from an official position or role.