John Maynard Keynes Influenced the Use of Fiscal Policy in the U.S.by

question 44

Multiple Choice

John Maynard Keynes influenced the use of fiscal policy in the U.S.by arguing effectively that

• A)balancing the national budget at all times was sound economic policy
• B)natural economic forces were not necessarily adequate to move the economy toward its potential output level
• C)the government did not need to stimulate output in order for the economy to achieve its potential output level
• D)increases in taxes and increases in government purchases are equally effective in closing an expansionary gap
• E)increases in taxes and increases in government purchases are equally effective in closing a contractionary gap

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Definitions:

Soiled Dressings

Bandages or materials that have been used to cover wounds and have become dirty or contaminated with bodily fluids and need to be changed to prevent infection.

Contaminated

Refers to objects or areas that have been infected with pathogens or polluted with hazardous substances.

Wound Treatment

Medical management and care strategies applied to injuries involving breaks in the skin or underlying tissues to promote healing and prevent infection.

Granulation

The formation of new, fibrous tissue during the healing process of a wound, which is indicative of healing.