Which of the Following Policy Statements Would a Keynesian Economist

question 57

Multiple Choice

Which of the following policy statements would a Keynesian economist tend to support?

• A) The government central bank should encourage savings as a means of promoting economic growth.
• B) The government central bank should never intervene in the economy.
• C) The government central bank should intervene in the economy to stimulate the economy.
• D) The government central bank should intervene in the economy only when aggregate supply changes.
• E) The government central bank should focus on long-run aggregate supply, not aggregate demand.

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