In Wicksell's monetary theory, bank creation of money would increase the money stock when the:
natural rate equaled the market rate. natural rate was rising. natural rate was falling. market rate was below the natural rate.
Underconsumptionists have argued that:
production tends to outrun people's ability to consume. savings need to be large for economic growth. supply creates its own demand. people must save for retirement, or else they will not have much to consume when they are old.
