Which of the Following Did Keynes Think Was a Macroeconomic

question 108

Multiple Choice

Which of the following did Keynes think was a macroeconomic problem?  

• A) The economy can tend toward an equilibrium level of output that is below the potential level. 
• B) The economy tends toward a potential level of output that is below the equilibrium level. 
• C) The economy makes the potential and equilibrium levels of output equal. 
• D) The economy can be pushed below the equilibrium level of output by fiscal policy.

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Definitions:

Mean

The arithmetic average of a dataset, found by adding all the numbers in the set and dividing by the count of numbers.

Standard Error

A statistical measure that describes the accuracy with which a sample distribution represents a population using the standard deviation.

Mean

The mean of a series of numbers, determined by dividing their total sum by the quantity of numbers in the series.

Confidence Interval

A range of values derived from sample statistics that is likely to contain the true population parameter with a given level of confidence.