Economics · Macroeconomics
In the Keynesian framework, the determination of an equilibrium interest rate also implies: (A) the rate that equates the supply of and the demand for bonds. (B) the rate that equates the supply of money with the demand for money. (C) the rate that equates the supply of money and demand for investment. (D) the rate that equates supply of labour and demand for labour. Choose the correct answer from the options given below:
- 1(C) only
- 2(C) and (D) only
- 3(A) and (B) only✓
- 4(A), (B), (C) and (D)
Correct answer
(A) and (B) only
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