Which One of the Following Statements Is TRUE

question 104

Multiple Choice

Which one of the following statements is TRUE?

• A) In the classical model, the supply of saving is determined by the rate of interest.
• B) In the classical model, the supply of saving is determined by the level of income.
• C) In the Keynesian model, the supply of saving is determined by the rate of interest.
• D) In the Keynesian model, the supply of saving is determined by the level of investment.

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Definitions:

External Search

External search involves seeking product information from sources outside the individual, such as friends, family, advertisements, or consumer reviews, especially when making purchasing decisions.

Wrong Purchase Decision

An incorrect decision made by consumers when buying a product or service, usually leading to regret or dissatisfaction.

Past Experience

Refers to the knowledge or skills gained from previous involvement or exposure to events.

Cognitive Search

The process by which individuals use their mental capabilities to actively seek out and process information relevant to their needs or inquiries.