If Asked About the Basic Functioning of the Economy,a Keynesian

question 87

Multiple Choice

If asked about the basic functioning of the economy,a Keynesian economist would state that

• A) prices are flexible.
• B) the market tends toward stability and full employment.
• C) the market tends toward instability and cyclical unemployment.
• D) savings is crucial to growth.
• E) the long run is more important than the short run.