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21 October, 07:29

From 2007 to 2012, the u. s. personal savings rate rose. if the additional savings were not translated into investment, keynes would predict that aggregate income would:

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  1. 21 October, 08:16
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    Keynes would predict that aggregate income would decline, but rise in the future, if the additional savings were not translated into investment.

    According to the Keynesian model. the government puts price controls on the economy, keeping the price level fixed.
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