Question 6 Standard macroeconomic theory predicts that if firms become more optimistic about future economic conditions, should rise and the real interest rate should O household saving, rise O household saving, fall O private investment, rise O private investment, fall O private investment and household saving, fall

Macroeconomics: Private and Public Choice (MindTap Course List)
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Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter11: Fiscal Policy: The Keynesian View And Historical Development Of Macroeconomics
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Question 6
Standard macroeconomic theory predicts that if firms become more optimistic
about future economic conditions,
should rise and the real interest
rate should
household saving, rise
O household saving, fall
O private investment, rise
O private investment, fall
O private investment and household saving, fall
Transcribed Image Text:Question 6 Standard macroeconomic theory predicts that if firms become more optimistic about future economic conditions, should rise and the real interest rate should household saving, rise O household saving, fall O private investment, rise O private investment, fall O private investment and household saving, fall
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