Economy saving propensities and investment opportunities


Charisse is of the opinion that the interest rate depends on the economy's saving propensities and investment opportunities. Most economists would say that Charisse's opinion is

a)Keynesian in nature, and that her view is more valid for the long run than for the short run.

b) classical in nature, and that her view is more valid for the long run than for the short run.

c) Keynesian in nature, and that her view is more valid for the short run than for the long run.

d) classical in nature, and that her view is more valid for the short run than for the long run.

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Microeconomics: Economy saving propensities and investment opportunities
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