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What Effective Argument Did John Maynard Keynes Use to Influence

Question 83

Multiple Choice

What effective argument did John Maynard Keynes use to influence fiscal policy in Canada?  


A)  Balancing the national budget at all times is sound economic policy. 
B)  Natural economic forces are NOT necessarily adequate to move the economy toward its potential output level. 
C)  The government does NOT need to stimulate output in order for the economy to achieve its potential output level. 
D)  Increases in taxes and increases in government purchases are equally effective in closing an expansionary gap.

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