Question

Which of the following is NOT one of the assumptions of the Keynesian Model? Fixed price level No government No taxes Free trade among nations

Answer 1

The assumption that is NOT one of the assumptions of the Keynesian Model is "No government." The Keynesian Model acknowledges the role of government in the economy and suggests that the government can influence aggregate demand through government spending and tax cuts.

Step-by-step explanation:

The assumption that is NOT one of the assumptions of the Keynesian Model is "No government."

The Keynesian Model acknowledges the role of government in the economy and suggests that the government can influence aggregate demand through government spending and tax cuts. Therefore, the assumption of "No government" contradicts the Keynesian perspective.

Answer 2

The assumption that is NOT one of the assumptions of the Keynesian Model is No government.

Step-by-step explanation:

The assumption that is NOT one of the assumptions of the Keynesian Model is No government. The Keynesian Model assumes that there is a role for government in influencing aggregate demand through government spending and tax cuts. The other assumptions of the Keynesian Model are fixed price level, no taxes, and free trade among nations.