Examlex
Which of the following statements is TRUE?
Keynesian Theory
Keynesian Theory is an economic theory stating that government intervention through fiscal and monetary policy is necessary to manage aggregate demand and address economic cycles.
Government Intervention
Actions taken by a government to affect the economy, which can include regulations, subsidies, tariffs, and monetary policies.
Expected Rate Of Profit
The anticipated return on an investment, taking into account the risk and time value of money.
Classical Theory
Refers to an economic theory that asserts that the economy is self-regulating, markets are best left alone without government intervention, and supply creates its own demand.
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