According to Keynes,in Order to Get the Economy Out of a Recession,the

question 134

Multiple Choice

According to Keynes,in order to get the economy out of a recession,the government should

• A)plan for a budget deficit
• B)encourage firms to export to other nations,thereby jump-starting the economy
• C)follow an expansionary monetary policy
• D)follow a contractionary monetary policy
• E)do nothing and rely on the market system to heal itself

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Definitions:

Positive-earnings Surprises

Situations where the reported earnings of a company exceed the expected earnings, often leading to a positive reaction in the stock market.

Overly Optimistic

This term refers to an excessive belief in the favorable outcomes of events or conditions, often disregarding the likelihood of negative outcomes.

Technical Analyst

A professional who evaluates securities or market trends based on historical price and volume data to predict future movements.

Passive Approach

An investment strategy that aims to replicate the performance of a market index or benchmark, minimizing buying and selling actions to reduce costs.