İKTİSADA GİRİŞ II
" British economist John Maynard Keynes argued that ................................. . "
" It Is the point on which there is no tendency to leave. "
" ................ are used to denote reductions in autonomous components of aggregate expenditures. "
" .................. is the reduction in the consumption expenditures and, therefore, income because of rising savings. "
" .............. is the level of income that will be attained in the economy if all the factors of production participate most effectively in production. "
Which of the following concepts - a type of leakage - is defined in the above paragraph?
In the second scenario, assume everybody has decided to increase their saving from 500 to 750 TL without any increase in their income. This means a drop in the demand for goods and services. Businesses can't make a profit, and so they displace workers, which increases unemployment and lowers the tax revenue to the government. The unemployed people, now without an income, stop spending, which worsens the problem even more.
Which of the following terms is used to define this phenomenon?