* not completed

. Injections:

Decrease aggregate demand correct incorrect

Always equal savings correct incorrect

Always equal national income correct incorrect

Include investment and export spending correct incorrect

* not completed

. An increase in national income is:

Likely to increase exports correct incorrect

Likely to decrease savings correct incorrect

Likely to decrease investment correct incorrect

Likely to increase spending on imports correct incorrect

* not completed

. An increase in national income is likely to:

Decrease tax receipts correct incorrect

Worsen the trade position correct incorrect

Automatically cause an increase in government spending correct incorrect

Cause an increase in injections into the economy correct incorrect

* not completed

. A significant increase in the government budget deficit is likely to:

Reduce injections into the economy correct incorrect

Reduce national income correct incorrect

Move the economy away from full employment correct incorrect

Boost aggregate demand correct incorrect

* not completed

. If injections are greater than withdrawals:

National income is likely to increase correct incorrect

National income is likely to decrease correct incorrect

National income will stay in equilibrium correct incorrect

Prices will fall correct incorrect

* not completed

. In the circular flow of income model injections:

Are assumed to be exogeneous (independent of national income) correct incorrect

Are assumed to be a function of national income correct incorrect

Decrease aggregate demand correct incorrect

Decrease the investment into an economy correct incorrect

* not completed

. For equilibrium in an open four sector economy:

Actual injections = actual withdrawals correct incorrect

Planned injections = planned withdrawals correct incorrect

Savings = investment correct incorrect

Government spending = tax revenue correct incorrect

* not completed

. A reflationary (expansionist) policy:

Increases aggregate supply correct incorrect

Increases aggregate demand correct incorrect

Decreases the price level correct incorrect

Increases full employment correct incorrect

* not completed

. A reflationary policy could include:

decreasing injections correct incorrect

increasing taxation rates correct incorrect

increasing interest rates correct incorrect

increasing government spending correct incorrect

* not completed

. Which of the following is an injection into the economy?

Investment correct incorrect

Savings correct incorrect

Taxation correct incorrect

Import spending correct incorrect