The permanent income hypothesis and the Ricardian equivalence theorem Select one: O a. are the same thing. O b. are related, but the first relates to the behavor of the whole economy, while the second relates to the behavor of a single consumer. O c. are related, but the first relates to the behavior of a sıngle consumer while the second relates to the behavior of the whole economy. O d. are completely unrelated.

ECON MACRO
5th Edition
ISBN:9781337000529
Author:William A. McEachern
Publisher:William A. McEachern
Chapter11: Fiscal Policy
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The permanent income hypothesis and the Ricardian equivalence theorem
Select one:
O a. are the same thing.
O b. are related, but the first relates to the behavor of the whole economy, while the second relates to the behavor of a single consumer.
O c. are related, but the first relates to the behavior of a sıngle consumer while the second relates to the behavior of the whole economy.
O d. are completely unrelated.
Transcribed Image Text:The permanent income hypothesis and the Ricardian equivalence theorem Select one: O a. are the same thing. O b. are related, but the first relates to the behavor of the whole economy, while the second relates to the behavor of a single consumer. O c. are related, but the first relates to the behavior of a sıngle consumer while the second relates to the behavior of the whole economy. O d. are completely unrelated.
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