According to Keynes, a Pessimistic Outlook Causes Consumers and Businesspersons

question 171

Multiple Choice

According to Keynes, a pessimistic outlook causes consumers and businesspersons to ____, and a recession could occur.

• A)increase planned investment
• B)decrease planned spending
• C)increase exports
• D)decrease imports
• E)decrease saving

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Definitions:

Production

The process of creating goods and services to satisfy consumer demand.

Fair

An event characterized by the exhibition and sale of goods or the display of entertainment, or the adherence to equitable principles in judgments and treatments.

Collective Decision Making

The process in which a group, rather than an individual, makes a choice or judgment after considering various alternatives.

Economic Questions

Fundamental queries regarding how societies allocate scarce resources to produce goods and services for consumption, including what, how, and for whom to produce.