Extreme Keynesians Believe That All Markets Adjust Instantly, Leading to a Clearing

question 45

True/False

Extreme Keynesians believe that all markets adjust instantly, leading to a clearing equilibrium.

---

Definitions:

Zero Slope

Characteristic of a straight line that is perfectly horizontal, indicating no change in the dependent variable regardless of changes in the independent variable.

Panels

Groups of selected individuals or experts brought together to discuss, investigate, or study a specific subject or area of interest.

Average Costs

The total costs of production divided by the quantity of output produced, representing the cost per unit of output.

Output

The quantity of goods or services produced by a firm or industry within a certain period.