________ Economists Believe That Active Help from Fiscal and Monetary

question 347

Multiple Choice

________ economists believe that active help from fiscal and monetary policy is needed to insure that the economy is operating at full employment.

• A) Keynesian
• B) Monetarist
• C) Classical
• D) All

---

Definitions:

Collude

When two or more entities, often companies, agree to work together secretly, especially in an illegal or deceitful way, to deceive, mislead, or defraud others of their legal rights, or to obtain an unfair advantage.

Profit

The financial gain realized when the revenue from business activities exceeds the expenses, costs, and taxes needed to sustain the activity.

Kinked-demand Curve

A demand curve that has a distinct bend or kink, typically illustrating that a firm in an oligopoly will experience a different elasticity of demand for price increases compared to price decreases.

Price Cut

A reduction in the price of a good or service to attract more customers or boost sales.