One of the Assertions That Keynesians Make When Explaining the Severity

Multiple Choice

One of the assertions that Keynesians make when explaining the severity of the Great Depression in the U.S.is that

A) the economic collapse originated from the negative effect that the stock market crash had on individuals' wealth
B) investment spending responded negatively to huge increases in the real interest rate
C) vigorous use of expansionary fiscal policy early on could have reduced the severity of the economic downturn
D) in response to the stock market crash, the U.S. Fed imposed credit controls that were much too restrictive
E) none of the above