Which of the Following Is a Major Insight of the Keynesian

question 8

Multiple Choice

Which of the following is a major insight of the Keynesian model?

• A)Changes in output,as well as changes in prices,play a role in the macroeconomic adjustment process,particularly in the long run.
• B)A general overproduction of goods relative to total demand is impossible because production creates its own demand.
• C)The responsiveness of aggregate demand to changes in supply will be directly related to the availability of unemployed resources.
• D)Fluctuations in aggregate demand are an important potential source of business instability.

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Definitions:

Openly Fight

To engage in conflict or dispute without hiding intentions or actions, often in a public or transparent manner.

Dominate

To have control or exert power over someone or something, often in a comprehensive manner.

Capitulate

To surrender or give in to an opponent in a conflict after negotiation or resistance.

Conflict Management

The practice of identifying and handling conflicts in a sensible, fair, and efficient manner, with the aim of minimizing negative impacts and promoting positive outcomes.