Reference no: EM131393525
1. According to keynes, the private sector (by itself)
A can only move the economy out of a recessionary gap if the AD fall (holding SRAS constant)
B Cannot always move the economy out of a recessionary gap in a timely manner
C Can always move the economy out of a recessionary gap in a timely manner
D can nver move the economy out of a recessinonarry gap
E can only move the economy out of a recessionary gap if the SRAS falls ( holding AD constant)
2. autonomous consumption is
A The steady increase in the consunption of goods and services that automatically occurs as a person grows from a child to an adult
B The change in consumption that result as a person( or nations) income increases or decreases
C That portion of total consumption that independent of the level of income
D That portion of total consumption that is dependent on the level of income
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Consider simple economy described
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Autonomous consumption
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