Use the Keynesian cross diagram to analyze the effects of the following on real output. (a) Decrease in government purchases (b) Increase in housing prices (c) Increase in taxes (d) Decrease in stock prices

can i get help please?   The population is aware that the government borrowing required to finance this capital investment will need to be paid back via tax rises, so they respond by reducing their spending. Using a “Keynesian cross” framework and sketch diagram, model this response as a fall in autonomous consumption, c0.

An economic theory regarding the effect of an economic variable on another when all other factors stay constant is called _____.         laissez faire         Keynesian         e pluribus unum         Ceteris Paribus

According to Keynes’ Law... A) The total demand for products determine the level of gross domestic product and may not equal the supply capacity of the economy in the short run. B) The total demand always equals the total supply capacity in the short run. C) The total demand tends to rise above the total supply capacity in the short run which leads to recessions D) The total supply of products determines the level of gross domestic product and the level of demand in the economy in the long run.

What are the principal differences between the Neoclassical and Keynesian approaches with examples

When income is zero within the Keynesian cross model planned expenditure will be greater than zero and the intercept of the consumption function will hence not be zero either. The reason for this feature of the model is that either:  The Marginal Propensity to Save (MPS) is greater than 0.5  The Marginal Propensity to Consume (MPC) is greater than 0.5  Autonomous consumer expenditure depends only on the level of national income Autonomous consumer expenditure does not depend on the level of national incomeOnly one answer can be correct. Please pick one and explain your reasoning.

Egypt authorities faced significant health and economic policy challenges during the COVID19 Pandemic, shutting down certain industries to protect public health. This shutdown resulted in almost 1 million jobs lost in April and May 2020, and a dramatic fall in consumers’ and firms’ confidence to spend and invest. Describe the effect that a fall in confidence had upon output in the Egypt economy using a Keynesian model of the macroeconomy. Ensure that your analysis includes the following:(i) the components of expenditure that are affected and why;(ii) the adjustment process associated with moving from an initial equilibrium (before the onset of the pandemic) to a new equilibrium (after the significant job losses), i.e. the mechanism that leads to a change in output (including a relevant diagram);(iii) an explanation of what the multiplier is and its role in explaining the fall in output; and(iv) a discussion of the policy actions that can restore aggregate demand to its initial level.

Suppose the economy goes into a recession. Which statement reflects a Keynesian response, and which reflects a neoclassical response? A. "The recession is likely caused by bad government policy, so active policy to solve the problem should be avoided" B. "The government should use fiscal policy to boost spending" 1. Neoclassical 2. Keynesian

In Spring 2020, the U.S. economy once again found itself in an economic crisis, this time due to the COVID-19 pandemic. Which approach did the U.S. government follow in regards to the economy—Keynesian or Neoclassical?  Explain.

Derive and use the equilibrium in the goods market (Keynesian cross) to explain how a drop in consumption during the pandemic can lead to a decrease in production.