Which of the Following Is an Implication of the Classical

question 59

Multiple Choice

Which of the following is an implication of the classical model?

• A) The supply of loanable funds curve is downward sloping.
• B) The inflation rate is constantly rising.
• C) Fiscal policy only changes the amount of consumption,investment and government spending,not the amount of output produced.
• D) Monetary policy can change both the interest rate and real output.
• E) The interest rate can only be changed by monetary policy,not by changes in government spending.

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Definitions:

Circulatory Fluid

The fluid that circulates in the heart and blood vessels, carrying nutrients and oxygen to cells and removing waste products; primarily blood.

Open Circulatory System

System in which hemolymph leaves vessels and seeps among tissues before returning to the heart.

Hemolymph

A fluid equivalent to blood in most invertebrates, occupying the hemocoel and involved in transporting nutrients, wastes, and hormones.

Cardiac Muscle Cells

Specialized muscle cells found in the heart that contract to pump blood throughout the body, characterized by their striated appearance and intercalated discs.