If the Economy Is Suffering from Demand Deficient Unemployment Then

Multiple Choice

If the economy is suffering from demand deficient unemployment then Keynes would recommend

A) cutting long term interest rates in order to boost investment.
B) increasing the level of government spending to shift the expenditure line upwards.
C) changing the marginal propensity to consume to bring about equilibrium in the economy at full employment output.
D) increasing imports to help boost national income by shifting the expenditure line upwards.