Keynesian Belief That the Aggregate Supply Curve Is Relatively Flat

question 199

Multiple Choice

Keynesian belief that the aggregate supply curve is relatively flat in the short run means that they expect their policies to cause

• A)small increases in output and much inflation.
• B)small increases in output and little inflation.
• C)large increases in output and little inflation.
• D)large increases in output and much inflation.

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Definitions:

Industrial Revolution

A period of major industrialization from the late 18th to early 19th century that transformed mainly agricultural societies into industrialized and urban ones.

Company Towns

Historically, communities where practically all stores and housing are owned by the one company that is also the main employer.

Gilbreths

Refers to Frank and Lillian Gilbreth, pioneers in the field of industrial engineering, known for their studies in time and motion, and efforts to improve workplace efficiency.

Self-Esteem

The perception of one's own value or worth, which can impact behavior, motivation, and emotional well-being.