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Indicate whether each view follows the traditional (neoclassical) view of money,

ID: 1152549 • Letter: I

Question

Indicate whether each view follows the traditional (neoclassical) view of money, banking, and capitalist economies, or the (post)Keynesian view.

__2__

Money precedes production

__2__

Money developed through rational, private actors in an attempt to economize on transaction costs

__2__

The level of investment depends most significantly on expectations ('animal spirits')

__1__

Loans create the money necessary to invest, and therefore to produce and generate an income to deposit into banks. (loans create deposits)

__1__

The level of investment depends most significantly on the interest rate

__1__

Production precedes money

__1__

Deposits into banks create the funds that get loaned out. (deposits create loans)

1.

Traditional (neoclassical)

2.

(Post) Keynesian

__2__

Money precedes production

__2__

Money developed through rational, private actors in an attempt to economize on transaction costs

__2__

The level of investment depends most significantly on expectations ('animal spirits')

__1__

Loans create the money necessary to invest, and therefore to produce and generate an income to deposit into banks. (loans create deposits)

__1__

The level of investment depends most significantly on the interest rate

__1__

Production precedes money

__1__

Deposits into banks create the funds that get loaned out. (deposits create loans)

1.

Traditional (neoclassical)

2.

(Post) Keynesian

Explanation / Answer

A post keynesian. It was argued by Howetson

B post keynesian

C post keynesian

D post keynesian

E neoclassical. It was negatively related to it

F neoclassicsl

G neoclassical