QuestionJune 14, 2025

39. Which of the following are the three injections into the income -spending stream in the Keynesian version of the Circular Flow Model. a) Consumption spending b) Investment spending c) Government purchases of goods and services d) Taxes e) Savings f) Imports g) Exports h) Net exports

39. Which of the following are the three injections into the income -spending stream in the Keynesian version of the Circular Flow Model. a) Consumption spending b) Investment spending c) Government purchases of goods and services d) Taxes e) Savings f) Imports g) Exports h) Net exports
39. Which of the following are the three injections into the income -spending stream in the Keynesian version of the Circular Flow Model.
a) Consumption spending
b) Investment spending
c) Government purchases of goods and services
d) Taxes
e) Savings
f) Imports
g) Exports
h) Net exports

Solution
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Answer

b) Investment spending, c) Government purchases of goods and services, g) Exports Explanation 1. Identify Injections in Keynesian Model In the Keynesian Circular Flow Model, injections are additions to the economy's income spending stream. These include investment spending, government purchases of goods and services, and exports.

Explanation

1. Identify Injections in Keynesian Model<br /> In the Keynesian Circular Flow Model, injections are additions to the economy's income spending stream. These include investment spending, government purchases of goods and services, and exports.
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