The Belief That Government Spending Is Necessary to Offset Sluggish

question 11

Multiple Choice

The belief that government spending is necessary to offset sluggish private investment demand is associated with

• A) monetarism.
• B) supply-side economics.
• C) Keynesianism.
• D) rational expectations theory.

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Definitions:

Raw Materials

The basic materials that are processed or used to manufacture goods.

Cash Disbursements

Outflows of cash for expenses, acquisitions, and other payments made by a business during a specific period.

November

The eleventh month of the year in the Gregorian calendar.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold by a company; includes the cost of materials and labor directly used to create the product.