$\rightarrow\downarrow$ -Given That M Represents the Money Supply,i Represents Interest Rates,I

question 289

Multiple Choice

$\rightarrow\downarrow$
-Given that M represents the money supply,i represents interest rates,I represents investment,AD represents aggregate demand,V represents the velocity of money,and Q represents the economy's real output level,Keynesian theory can be represented by:

• A)\(\uarr\) M \(\rightarrow\downarrow\) i \(\rightarrow\) \(\uarr\) I \(\rightarrow\) \(\uarr\) AD \(\rightarrow\) \(\uarr\) Q
• B) \(\uarr\)M \(\rightarrow\uarr\) i \(\rightarrow\downarrow\) I \(\rightarrow\uarr\) AD \(\rightarrow\uarr\) Q.
• C) \(\uarr\)M \(\rightarrow\downarrow\)V \(\rightarrow\downarrow\)I \(\rightarrow\uarr\) AD \(\rightarrow\uarr\) Q.
• D) \(\uarr\)M \(\rightarrow\downarrow\) i \(\rightarrow\uarr\) V \(\rightarrow\uarr\) AD \(\rightarrow\uarr\) Q.

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Electron

A minute particle of matter charged with the smallest known amount of negative electricity; opposite of proton.

Negative Electricity

An outdated term historically used to describe what is now known as the flow of electrons, or electric current, particularly in the context of static electricity.

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A subatomic particle found in the nucleus of an atom, carrying a positive electrical charge.