The Drop in Unemployment from Over 11 Percent in 1939

question 21

Multiple Choice

The drop in unemployment from over 11 percent in 1939 to roughly 1 percent in 1944

• A) has been attributed by Keynesians as a validation of larger deficits as a solution to unemployment
• B) has been attributed by Monetarists as a validation that a large increase in the money supply would cure the depression.
• C) has been acknowledged as a success in Keynesian policies, with the caveat that inflation was only averted through price controls.
• D) All of the above are correct.

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Definitions:

Neuroadaptation

The process by which the brain adapts to the effects of a drug or stimulus with continued exposure, leading to a reduction in sensitivity.

Tolerance

The capacity to accept or endure someone or something different from one's own beliefs, habits, or practice without interference.

Depressant Drugs

Substances that reduce arousal and stimulation in the brain, leading to a calming effect.

Barbiturates

Are a class of drugs that act as central nervous system depressants, used primarily as sedatives or to control seizures.