Which of the Following Is False

question 127

Multiple Choice

Which of the following is false?

• A)The classical economists believed that the economy was basically stable.
• B)Keynes believed that full employment was a "rare occurrence."
• C)Keynes argued that the interest rate was the most important factor in determining the level of investment demand in an economy.
• D)The classical economists used the laws of supply and demand to prove the validity of Say's law.

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Definitions:

Product Life Cycle

The stages a product goes through from initial development to decline, including introduction, growth, maturity, and decline.

Pricing Impact

The effect of pricing strategies on consumer demand, sales volume, and ultimately, company profitability.

Pricing Constraints

Limitations that affect how a company can set prices for its products or services, which may include costs, competition, demand, and legal issues.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a given time period.