Keynes Suggested That the Short-Run Aggregate Supply (SRAS)curve

question 194

Multiple Choice

Keynes suggested that the short-run aggregate supply (SRAS) curve

• A)is vertical.
• B)is horizontal.
• C)slopes downward.
• D)is not a relevant concept.

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Definitions:

Stock Market Downturn

A period during which stock prices fall across a major portion of the stock market, leading to a decrease in investor wealth.

Defensive Strategy

A defensive strategy in investing involves choosing stocks or assets that are less susceptible to economic downturns or market fluctuations, often focusing on necessity goods or services.

Stock-Index Futures

Futures contracts based on stock indices, which allow investors to speculate on the future value of an index.

Sell

The action of transferring ownership of a security or asset to a buyer for an agreed price.