Asked by
samuel jijon
on Nov 30, 2024Verified
Which of the following is true?
A) To fight a depression,Keynes said that the government should spend money on carefully chosen projects.
B) According to Keynes,an equilibrium below full employment was a rare occurrence.
C) Keynes suggested that savers save and investors invest for different reasons.
D) Keynes believed the economy was basically stable.
Depression
A prolonged period of significant economic decline characterized by a substantial increase in unemployment, a drop in available credit, shrinking output, and bankruptcies.
Keynes
John Maynard Keynes was a British economist whose theories revolutionized macroeconomic practices and governmental economic policies.
Government Spending
Expenditures made by the government for the purpose of economic activity, including salaries of public servants, public projects, and social services.
- Assess the influence of governmental policies on ensuring economic stability as advocated by Keynesian theory.
Verified Answer
RS
Learning Objectives
- Assess the influence of governmental policies on ensuring economic stability as advocated by Keynesian theory.