According to the Keynesian View, the Rapid Increase in Government

question 73

Multiple Choice

According to the Keynesian view, the rapid increase in government spending and large budget deficits in response to the recession of 2008-2009 would

• A)slow the recovery process and result in weak long-term growth of real GDP.
• B)speed the recovery process and provide the foundation for strong long-term growth of real GDP.
• C)stimulate a more rapid recovery, but cause the economy to fall back into a recession in the near future.
• D)slow the recovery process, but provide the foundation for rapid long-term growth of real GDP.

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Definitions:

Basic Necessities

fundamental needs required for sustaining human life, including food, water, shelter, and clothing.

Deprived

refers to a lack of the necessary resources, rights, goods or capabilities which are considered normal or sufficient by the society in which an individual, group or area lives.

Human Needs

Fundamental requirements necessary for individuals to live a healthy and fulfilling life, including physiological, safety, love/belonging, esteem, and self-actualization needs.

Culture

A complex blend of values, beliefs, languages, rituals, and traditions that defines the social behavior and norms found in human societies.