Which of the Following Was a Central Argument of Keynes's

question 65

Multiple Choice

Which of the following was a central argument of Keynes's General Theory?

• A)Competition does not allocate resources efficiently in a modern industrial economy.
• B)Full employment can be maintained even during a major recession if wage rates are lowered far enough.
• C)Modern industrial economies do not tend automatically toward full employment rates of output.
• D)Money does not play an important role in either causing or curing recession.
• E)Government can best stabilize the economy by letting the market system automatically adjust toward full employment.

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Definitions:

Job Satisfaction

The level of contentment employees feel about their work, which can affect their performance, engagement, and retention.

Demanding Workload

The condition of having a large amount of work to do in a limited amount of time, often leading to stress.

High Negative Affectivity

A personality trait encompassing pervasive mood states of anxiety, depression, and hostility.

External Locus of Control

A belief that one's outcomes or events in life are determined by forces outside one’s control, such as luck or other people's actions.