Multiple Choice
According to Keynesian economists, the problem in the Great Depression was
A) a major outside shock.
B) deficit spending by the government.
C) a lack of effective demand.
D) government interfering with the natural tendency of the economy to restore equilibrium.
Correct Answer:
Verified
Correct Answer:
Verified
Q12: Unused savings, as defined in this chapter,
Q13: The wealthy tend to have<br>A) higher average
Q14: Keynes stressed the importance of effective demand,
Q15: Leakages from the circular flow include<br>A) savings,
Q16: All of the following individual investments are
Q17: Progressive economists argue that recessions and depressions
Q18: All of the following are examples of
Q19: The circular flow of money refers to<br>A)
Q21: The name of John Maynard Keynes' most
Q22: At very low levels of income, consumer