According to Keynes

question 86

Multiple Choice

According to Keynes,

• A)fiscal policy should not be used to influence the economy
• B)the economy eventually tends toward the potential output
• C)to get the economy to potential output,the SRAS curve must shift to the right
• D)the economy could be stuck at equilibrium below the potential output for a prolonged period
• E)deviations from potential output are short-lived

---

Definitions:

Operating Activities

Activities that involve the primary operations of a company, such as selling products and providing services.

Statement Of Cash Flows

A financial statement that provides a summary of a company's cash inflows and outflows over a specific period.

Direct Method

A way of preparing the cash flow statement where actual cash flow information from the company's operations is used, rather than accrual accounting values.

Operating Activities

Activities directly related to a company's core business operations, including income-earning endeavors and other functions central to its purpose.