Say's Law

Multiple Choice

Say's Law

A) is valid only in a simple economy without financial markets
B) led economists during the 1920s to encourage the government to adopt flawed economic policies that led to the Great Depression
C) assures us that in the aggregate,firms are able to sell their output so that full employment can be sustained
D) tells us that in the long run,markets clear
E) tell us that firms must carefully monitor consumer spending and saving in order not to produce more than consumers are willing to purchase