keynesian_model.docx

Apr 18th, 2015
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The Keynesian Theory was mainly based on the thoughts of twentieth-century British economist John Maynard Keynes. As indicated by Keynesian financial aspects people in general part, or the state, can stimulate economic development and enhance dependability in the private segment through, for instance, through interest rates, public tasks and taxation. The foundation of the Keynesian Model was regarded to for this equation:Aggregate income= Aggregate expendituresThis actually meant that the main way any individual can get any wage as cash is for some other individual to spend an equivalent

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