o The purchase of a previously owned house for $150,000 The purchase of a new $2

Question

o The purchase of a previously owned house for $150,000 The purchase of a new $20,000 automobile to tndA gift from your parents of $2,000 loym A domestic partner preparing breakfast. rve QUESTION 13 6 points Save Answer utc All of the following are assumptions of the classical model EXCEPT saving and investment expenditures are equal. people are motivated by self-interest. pure competition exists, i.e. the Invisible Hand works. e wages and prices are flexible to involuntary unemployment is a by product of the system. nd w Qu and submit. Click Save All Answers to W answers. one al m folld Save All Answers Save and Submit

Explanation / Answer

savings and investment expenditure are equal is the equilibrium identity defined by the model given by the morden father of macroeconomics. i.e john mayard keynes,

so the answer here is A

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