Which of the Following Would a Keynesian Economist Be Most

question 51

Multiple Choice

Which of the following would a Keynesian economist be most likely to stress?

• A) Supply creates its own demand.
• B) Businesses will not produce goods and services if they do not think people will buy them.
• C) You cannot spend your way out of a recession.
• D) When the unemployment rate is high, wage rates will fall.
• E) A dollar saved is a dollar earned; a high rate of saving is the key to prosperity.

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Definitions:

Talleyrand

Charles Maurice de Talleyrand-Périgord was a leading French diplomat who played a key role in negotiations during and after the French Revolution and the Napoleonic Wars.

Louisiana Purchase

The acquisition of the Louisiana territory by the United States from France in 1803, doubling the size of the U.S. at the time.

$15 Million

Refers to a specific financial amount, which, in historical contexts, might be associated with significant purchases or costs, such as the Louisiana Purchase.

North Africa

North Africa is a region on the African continent comprising countries along the Mediterranean coast, including Egypt, Libya, Tunisia, Algeria, and Morocco.