Which of the Following Is Associated with the General Theory

question 60

Multiple Choice

Which of the following is associated with The General Theory of Employment by John Maynard Keynes?

• A)A well run capitalistic system does not produce unemployment.
• B)Nationalization of industry is the only way to stop a major economic downturn.
• C)An active government role in managing capitalistic economies would preserve democracy and capitalism.
• D)Authoritarian systems are more capable in handling economic problems.
• E)Private initiative will be destroyed by government actions in the economy.

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Definitions:

Net Profit Margin

A financial metric expressing the percentage of revenue that remains as profit after all operating and non-operating expenses have been deducted.

Gross Margin

The difference between revenue and cost of goods sold, which serves as a measure of a company’s manufacturing and distribution efficiency.

Return On Total Assets

A financial ratio that measures the profitability of a company relative to its total assets, indicating how efficiently a company uses its assets to generate profits.

Return On Equity

A metric that gauges the effectiveness of a firm in utilizing investments to drive earnings growth, determined by dividing net income by shareholders' equity.