3.3 How does classical economic theory respond to the claim that saving contradicts Say's Law, i.e., that saving leads to underspending or a deficit in total demand? s (Savings) E (Equilibrium Point) S. I Investment Rate of interest (IWI) xəđ

3.3 How does classical economic theory respond to the claim that saving contradicts Say's Law, i.e., that saving leads to underspending or a deficit in total demand? s (Savings) E (Equilibrium Point) S. I Investment Rate of interest (IWI) xəđ

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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3.3 How does classical economic theory respond to the claim that saving contradicts
Say's Law, i.e., that saving leads to underspending or a deficit in total demand?
S (Savings)
(Equilibrium Point)
S.
I Investment
Fig. 1
Dollars saved and invested
Rate of interest
per (EMT)

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