If the Economy Is Experiencing Less Than Full-Employment, the Keynesian

question 98

Multiple Choice

If the economy is experiencing less than full-employment, the Keynesian school recommends that the government:

• A) do nothing to stimulate the economy.
• B) undertake fiscal policy to stimulate aggregate demand.
• C) undertake fiscal policy to stimulate aggregate supply.
• D) balance the budget to stimulate aggregate demand.

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Definitions:

Swimming Laps

Swimming laps involves repeatedly swimming back and forth across the pool, commonly used as a form of exercise or training.

Running

Running is a form of aerobic exercise involving rapid foot movement to advance the body quickly on foot, commonly practiced for physical fitness, competition, and leisure.

Motor Skills

Physical abilities that involve the coordination of muscles to perform movements smoothly and accurately, often categorized as fine (small movements) or gross (large movements) motor skills.

Middle Childhood

Middle childhood refers to the developmental period between early childhood and adolescence, approximately ages 6 to 11.